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The Sun Shines on Payments from Drug Companies to Anesthesiologists and other Physicians

"Physicians’ relationships with the pharmaceutical industry should be transparent and focused on benefits to patients."  (Jeremy A. Lazarus, MD, President, American Medical Association, Statement on Final Physician Payment Sunshine Act Rule, February 1, 2013.)“You should know when your doctor has a financial relationship with the companies that manufacture or supply the medicines or medical devices you may need. Disclosure of these relationships allows patients to have more informed discussions with their doctors.” (Peter Budetti, MD, JD, CMS Deputy Administrator for Program Integrity, quoted in Rule Increases Transparency in Health Care, press release, February 1, 2013.)Have you ever received a consulting fee, a meal, a textbook, a mug or a pen set from a drug company or a device manufacturer?  If the value of the item was more than $10, it would likely be reportable to a new registry under the Physician Payment Sunshine Act and the final regulations (“Final Rule”) published by CMS on February...
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What Anesthesiologists and Pain Physicians Should Know about Health Insurance Exchanges

The creation of Health Insurance Exchanges (HIEs) is among the most important changes to the health care system made by the Affordable Care Act (ACA).  The HIEs are marketplaces where consumers and small businesses can shop for private health insurance plans. Many anesthesia and pain medicine patients will be covered by health plans participating in HIEs beginning as soon as October 2013.  Payment rates under such plans have the potential to make or break providers.  Additionally, some group practices may choose to offer coverage through the HIEs.  A basic familiarity with HIE structure and operations is therefore in order. Who The ACA provides that effective January 1, 2014, there shall be at least one HIE in each of the fifty states.  States have the option of (1) setting up their own HIEs, (2) partnering with the federal government to run an exchange, or (3) opting out—in which case, the Department of...
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Why You Need a Quality Management Program

  The Anesthesia Quality Institute (AQI) is a non-profit corporation created to improve outcomes in anesthesia, based on aggregating, analyzing and reporting electronic data. Over the past three years AQI has recruited more than 220 anesthesia practices, from 44 states, to contribute data to the National Anesthesia Clinical Outcomes Registry (NACOR). The aggregate data has provided a unique and valuable perspective on the specialty of anesthesiology: What we do, what we know, and how we do it. At the same time, a picture is emerging of the other side of our national practice: What we don’t know and what we don’t do. The widest performance gap in anesthesia today is our collective lack of insight regarding outcomes of the care we provide. Even among the participating groups in NACOR—a self-selected ‘choir’ of early adapters—fewer than 1 in 5 have the infrastructure to recognize and respond to the following event: Mrs. Smith,...
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Anesthesia for GI Endoscopy: An Ongoing Problem of “Medical Necessity”

Gastrointestinal endoscopy is one of the safest and most commonly performed adult procedures. The record of safety extends to the sedation or anesthesia for both upper and lower GI endoscopy.  Because of both the safety and the frequency of the procedure, anesthesia for GI endoscopy has been under scrutiny by health plans for a decade or more.  Lately, the number of claims denied for lack of “medical necessity” for endoscopic anesthesia services have once again been growing.  Without taking any position on the merits of anesthesia vs. moderate sedation in connection with endoscopies and especially colonoscopies, we would like to remind our audience of the principles followed by payers in evaluating the medical necessity of anesthesia for these procedures. The differences between anesthesia and moderate sedation Moderate sedation (aka “conscious sedation”) is a “drug-induced depression of consciousness during which patients respond purposefully to verbal commands, either alone or accompanied by light tactile...
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Rental Networks, Claims Repricers and Anesthesia Practices

Everyone involved in the healthcare industry will inevitably learn about the confusing aspects of medical health insurance. Just when you thought you had a grasp on the insurance marketplace another complexity presents itself.  Sometimes what you might have thought of as an insurance plan turns out not to be insurance at all. There is a variety of well-known insurance plans available in the market today. Some of these plans are government-run, starting with Medicare and Medicaid. Others are private or commercial managed care plans offered by entities that include Blue Cross and Blue Shield, United Healthcare or Aetna.  Then there is a less well known group of companies that market themselves as health benefit plans but that are in reality simply claims repricers, or discount brokers and vendors, i.e., “rental networks” or ”silent PPOs.” What is a “Rental Network PPO?” A rental network preferred provider organization or medical discount network or...
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