Claims Adjudication
Adjudication is the process involved in the disposition of claims…from paying, denying to rejecting a medical claim…all for valid reasons based on a set of rules set by the payer.
Adjudication involves a deep understanding of the payment processes used by the commercial Insurers, Medicare and Medicaid to reimburse providers for medical care provided to the beneficiaries of the Insurance Companies or Institutions
The adjudication team starts with a thorough comprehension of the payer’s software, the rules, the reimbursement structure, the rationale, the exceptions, the pre conditions and the formularies.
In most cases the software typically auto adjudicates over 50% of the claims.
Essential Healthcare Solutions will handle all the claims that have been rejected by the software for a multitude of reasons and work with providing a quick disposition for claims that come through the system.
Essential Healthcare Solutions in the process, will also create a knowledge base that will enable the new rules to be incorporated in the (next) iteration of the software’s edits to enable auto adjudication.
Some of the specific tasks done by Essential Healthcare Solutions includes:
- In the case of non-digital forms, Netmark verifies each field entered twice for accuracy
- For Medicare where members change plans frequently, eligibility determination is an important first step
- Eligibility determination also creates the right pathway to adjudication entitlement
- Primary insurance verification
- Timely filing limit issues
- Determination of participating provider status
- Checking Prior authorization rules and status prior to processing
- Checking status of duplicate or corrected claims
- Identifying and isolating data elements from raw data claims
- Calculating valid claim amount
- Determination of DRG
- Understanding managed care rates per diem including cap rates
- Determination of correct allowable
- Accurately calculating co pay and coinsurance details per benefit plan
- Use of appropriate remark/adjustment codes
- Establishing medical service provider type
- Validating data against adjudicating engine
- Committing fully adjudicated claims