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ASA NEWSLETTER
 
 
February 2002
Volume 66
Number 2
 
PRACTICE MANAGEMENT

Preoperative Visits – Should I Bill for Them?

Karin Bierstein, J.D.
Assistant Director of Governmental Affairs (Regulatory)


The question of whether anesthesiologists may bill separately for preoperative evaluations has resurfaced recently. The answer is not entirely black or white, although it is clear that the routine preanesthesia evaluation performed on every surgical patient is not billable. The ASA Relative Value Guide explicitly states that the “usual preoperative and postoperative visits” are included in the base units for an anesthesia service.

There are circumstances, however, under which a preoperative evaluation performed by an anesthesiologist may properly be billed, at least to Medicare. A visit or consultation that goes significantly above and beyond the routine preanesthesia visit will qualify, in general. The Centers for Medicare & Medicaid Services (CMS) spelled out the applicable circumstances in a new section of the Medicare Carrier Manual (MCM), of which carriers were advised in May 2001. Section 15047 of the MCM provides that: “E/M [Evaluation and Management] services performed … for the purpose of evaluating a patient’s risk of perioperative complications and to optimize perioperative care … may be billed by using an appropriate CPT [Current Procedural Terminology™] code (e.g., new patient, established patient, or consultation).” This distinguishes preoperative evaluations from routine screening examinations, which Medicare does not cover. There are important qualifications, however.

Medical Necessity. Section 15047 provides that: “For purposes of billing under the Physician Fee Schedule, medical preoperative examinations performed by, or at the request of, the attending surgeon … are payable if they are medically necessary (i.e., based on a determination of medical necessity…), and meet the documentation requirements of the service billed.” Determination of the appropriate E/M code is based on the requirements of the specific type and level of visit or consultation the physician submits on his or her claim (e.g., established patient, new patient, consultation).

To be medically necessary for payment purposes, a preoperative evaluation would have to encompass more than the standard preanesthesia exam. At one end of the spectrum, the full history and physical exam required by the hospital — if provided by the anesthesiologist — would certainly qualify. A good example would be the history and physical for a procedure to be performed by a nonphysician provider, e.g., a podiatrist, who is not licensed to conduct a medical evaluation. A visit separate from the preanesthesia evaluation also could be medically necessary if the patient had known medical conditions that might cause perioperative problems.

To distinguish between preoperative exams and the routine preanesthesia visit, readers should consult the “Practice Advisory for Preanesthesia Evaluation” approved by the ASA House of Delegates in October 2001 <www.asahq.org/Pubs/pubshome.htm#practice>. The purposes of the practice advisory do not include resolving payment issues, but its “reference framework for the conduct of preanesthesia evaluation by anesthesiologists” is highly relevant. The content of the preanesthesia evaluation “includes but is not limited to 1) readily accessible medical records, 2) patient interview, 3) a directed preanesthesia examination, 4) preoperative tests when indicated and 5) other consultations when appropriate. At a minimum, a directed preanesthetic physical examination should include an assessment of the airway, lungs and heart.”

Finally, the chair of our Committee on Economics, Alexander A. Hannenberg, M.D., observes that “anesthesiologists choosing to report [preoperative] patient evaluations separately will rely on the individual merits of each case in any dispute with a carrier on the appropriateness of billing these visits. Local carriers may be willing to develop guidelines in this area, and the anesthesiologist member of the local Carrier Advisory Committee may be able to facilitate such efforts.”

Documentation. To demonstrate that the Medicare conditions for payment of the preoperative visit have been satisfied, documentation of the following is critical (the only requirements for commercial payers would be those contained in contracts or in the CPT-4 guidelines):

  • Request for a visit or consult by the attending surgeon. You should only bill Medicare for a consultation if, additionally, you prepare a report of your findings “which is provided to the referring physician [i.e., the surgeon] for the referring physician’s use in treatment of the patient.” (MCM Section 15506).
  • Medical necessity, e.g., ICD-9 codes for the conditions that prompted surgery and for the condition that prompted the preoperative medical evaluation, if any.
  • The appropriate preoperative service ICD-9 codes, e.g., V72.81 through V72.84.
  • Level of E/M code selected.
  • Timing. A claim for a preoperative visit provided on the same day as the anesthetic is more likely to raise a Medicare carrier’s suspicion than a claim for an examination performed in advance.

Preoperative Tests
Anesthesiologists do not perform preoperative tests such as electrocardiograms and are therefore not paid for such tests. The hospital, on the other hand, may well lose money on tests that are deemed medically unnecessary and hence not reimbursed. It is therefore important for anesthesiologists to understand the application of the medical necessity concept to preoperative tests.

The Medicare Carrier Manual does not elaborate on the medical necessity of preoperative diagnostic tests, but ASA’s “Practice Advisory for Preanesthesia Evaluation” states the following:

“The Task Force agrees with the consultants and ASA members that preoperative tests should not be ordered routinely. The Task Force agrees that preoperative tests may be ordered, required or performed on a selective basis for purposes of guiding or optimizing perioperative management. The indications for such testing should be documented and based on information obtained from medical records, patient interview, physical examination and type and invasiveness of the planned procedure.”

The advisory devotes several pages to specific preoperative tests such as electrocardiograms and chest X-rays, listing specific medical conditions that may warrant individual tests. It is a very useful guide.

Correction - Table 2, Page 33 of December 2001 NEWSLETTER (Medicare Base Unit Update)


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The views expressed herein are those of the authors and do not necessarily represent or reflect the views, policies or actions of the American Society of Anesthesiologists.

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