Overview
This session explains NCCI (National Correct Coding Initiative) edits, their structure, application, and best practices for accurate and compliant medical coding in Medicare Part B billing.
Purpose and Design of NCCI Edits
- NCCI was developed by CMS to promote proper coding and reduce improper Medicare Part B claim payments.
- The initiative identifies code pairs that should not be billed together or limits the number of billable units for certain services.
- Aims to prevent duplicative billing and ensure medical appropriateness of rendered services.
Types of NCCI Edits
- There are two main types: Procedure to Procedure (PTP) edits and Medically Unlikely Edits (MUEs).
- PTP edits prevent inappropriate code pairs from being billed together.
- MUEs restrict the maximum units of a service that can be billed by the same provider for the same patient in one day.
Procedure to Procedure (PTP) Edits
- PTP edits indicate whether certain procedures can never or only sometimes be billed together.
- Some procedures (e.g., closure after surgery) are inherently included and not separately billable unless performed on a different site.
Medically Unlikely Edits (MUEs)
- MUEs define the maximum number of service units allowed per day based on clinical standards (e.g., only two knee replacements per day).
- Designed to flag questionable billing that exceeds typical medical necessity.
NCCI Edit Resources and Tools
- CMS provides quarterly-updated free NCCI edit tables and a policy manual on its website.
- Encoder software solutions can simplify access to NCCI data but may incur additional costs.
- Software highlights editable code pairings and when a modifier can make a pairing permissible.
Modifiers and Modifier Indicators
- Modifier indicators in NCCI tables show if and when a modifier can override an edit (0 = never, 1 = sometimes, 9 = not applicable).
- Modifier 59 indicates a distinct procedural service, allowing proper unbundling when warranted.
- Modifier 25 applies to significant, separately identifiable evaluation and management services on the same day as another procedure.
- Modifier 91 is used for repeat laboratory tests.
- Correct modifier use must be supported by documentation.
Using NCCI Edit Tables
- NCCI edit tables can be accessed and navigated using Excel features like “freeze panes” and “find” to locate relevant codes.
- The tables list code pairs, modifier indicators, effective dates, and rationales.
- The MUE files are similarly organized and show unit limitations per service code.
Tips for Compliance with NCCI Edits
- Always use the most current NCCI tables for the date of service you are coding.
- Cross-check encoder software results with official CMS data, as software may lag behind updates.
- Refer to the NCCI policy manual for guidance on when services can be unbundled.
- Ensure that accurate, documented coding minimizes risk of overpayment and supports compliance.
Recommendations / Advice
- Regularly update and reference NCCI edits and policy manuals to maintain compliance.
- Use free CMS resources for official guidance, and encoder software for efficiency, validating with CMS as needed.
- Support modifier use with strong documentation.
Questions / Follow-Ups
- Clarification requested on NCCI edits or coding scenarios can be left in the comments for further discussion.