Coding

Coding the “Spot Check”: Part 1

Author and Disclosure Information

The updated outpatient evaluation and management (E/M) coding paradigm went into effect in January 2021, with level of visit being based on time or medical decision making (MDM). This article discusses how to effectively utilize this coding structure to correctly document for the “spot check,” a common encounter within dermatology.

Practice Points

  • Clear documentation that reflects your thought process is an important component of effective coding and billing.
  • Include Current Procedural Terminology–defined language within documentation to help ensure appropriate reimbursement and decrease the risk of audits.


 

References

On January 1, 2021, the Current Procedural Terminology (CPT) evaluation and management (E/M) reporting rules changed dramatically, with “bullet counting” no longer necessary and the coding level now based on either the new medical decision making (MDM) table or time spent on all activities relating to the care of the patient on the day of the encounter.1 This is described in the CPT Professional Edition 2023, a book every practitioner should review annually.2 In particular, every provider should read and reread pages 1 to 14—and beyond if you provide services beyond standard office visits. These changes were made with the intent to simplify the process of documentation and allow a provider to spend more time with patients, though there is still a paucity of data related to whether the new system achieves these aims.

The general rule of reporting work with CPT codes can be simply stated—“Document what you did, do what you documented, and report that which is medically necessary” (David McCafferey, MD, personal communication)—and you should never have any difficulty with audits. Unfortunately, the new system does not let an auditor, who typically lacks a medical degree, audit effectively unless they have a clear understanding of diseases and their stages. Many medical societies, including the American Medical Association3 and American Academy of Dermatology,4 have provided education that focuses on how to report a given vignette, but specific examples of documentation with commentary are uncommon.

To make your documentation more likely to pass audits, explicitly link parts of your documentation to CPT MDM descriptors. We offer scenarios and tips. In part 1 of this series, we discuss how to approach the “spot check,” a commonly encountered chief concern (CC) within dermatology.

Scenario 1: A Funny-Looking New Spot

A 34-year-old presents with a new spot on the left cheek that seems to be growing and changing shape rapidly. You examine the patient and discuss treatment options. The documentation reads as follows:

• CC: New spot on left cheek that seems to be growing and changing shape rapidly.

• History: No family history of skin cancer; concerned about scarring, no blood thinner.

• Examination: Irregular tan to brown to black 8-mm macule. No lymphadenopathy.

Pages

Recommended Reading

Nurse makes millions selling her licensing exam study sheets
MDedge Dermatology
Luxe vacations, private jets: Medical device maker, surgeon to pay $46 million penalty in kickback scheme
MDedge Dermatology
Malpractice risks for docs who oversee NPs or PAs
MDedge Dermatology
New Medicare rule streamlines prior authorization in Medicare Advantage plans
MDedge Dermatology
Health care in America: Let that tapeworm grow
MDedge Dermatology
Physician compensation continues to climb amid postpandemic change
MDedge Dermatology
Physicians may retire en masse soon. What does that mean for medicine?
MDedge Dermatology
CMS inpatient payment rule for 2024: Key takeaways
MDedge Dermatology
Surgeons, intensivists earn more than do colleagues from private insurance
MDedge Dermatology
Proposed Medicare bill would raise docs’ pay with inflation
MDedge Dermatology