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Coding for Molecular Diagnostics: Tips, Pitfalls, and What’s New for 2007

By Joan Logue
10/09/07

Coding for Molecular Diagnostics: Tips, Pitfalls, and What’s New for 2007

 


Washington G-2 Reports recently talked with Joan Logue, a principal with Health Systems Concepts (Longwood, FL), a national consulting firm for clinical laboratory Medicare coding and compliance, to get her expert advice on coding for molecular diagnostic testing.

Many of the code changes and additions for the 2007 Clinical Laboratory Fee Schedule will affect those who perform molecular testing. What are those key code changes or new codes relevant to molecular diagnostics?

CPT has added one new code to the molecular diagnostic codes, 83890 through 83914, located in the chemistry section. The new code, 83913 Molecular diagnostics; RNA stabilization, allows the laboratory to bill for this procedure when a special tube or kit is used to stabilize the RNA in the sample prior to testing. The 2007 Medicare clinical laboratory fee schedule National Limitation Amount (NLA) for 83913 will be $18.66.
There are also four new codes added to the molecular infectious agent subsection in the Microbiology section of CPT. These codes are:

87498    Infectious agent detection by nucleic acid (DNA or RNA); enterovirus, amplified probe technique
87640    Infectious agent detection by nucleic acid (DNA or RNA); Staphylococcus aureus, amplified probe technique
87641    Infectious agent detection by nucleic acid (DNA or RNA); Staphylococcus aureus, methicillin resistant, amplified probe technique
87653    Infectious agent detection by nucleic acid (DNA or RNA); Streptococcus, group B, amplified probe technique

The four new infectious agent codes all have an NLA of $49.04.

Also, CPT added an important parenthetical to this section that clarifies when to use the molecular infectious agent codes and how to code when a code is not listed for a specific infectious agent. The parenthetical states:

(For each specific organism nucleic acid detection from a primary source, see 87470-87660. For detection of specific infectious agents not otherwise specified, see 87797, 87798, or 87799 one time for each agent.)

Prior to this clarification, kits that resulted multiple organisms had to bill using codes 87800 or 87801, the multiple-organisms codes. The problem with using these codes is that they are priced at the two-organisms detection level. This meant when the laboratory used a kit that detected and resulted more than two organisms, it was only being paid for two. Now, with this clarification, the laboratories will be paid for each organism resulted. 

This parenthetical does not apply to kits that test for multiple organisms but simply give a yes/no answer and require further testing to identify the specific organism present.

 

What are some of the most common pitfalls people encounter or errors they make when coding for molecular tests?

Not considering the intent of the code. For example, when code 83907 Molecular diagnostics; lysis of cells prior to nucleic acid extraction (e.g., stool specimens, paraffin embedded tissue) was added to CPT in 2006, many labs began billing this code incorrectly. The intent of the code was that it should be used when a separate procedure is required prior to the isolation or extraction of nucleic acid. The examples listed in the code description define types of specimens that require a significant amount of extra preparation prior to the nucleic acid extraction.

Not carefully considering the description. If the code does not have the word “each” in the description, the laboratory may not report units for the code.
Not understanding the purpose of the step. For example, code 83894 Molecular diagnostics; separation by gel electrophoresis (e.g., agarose, polyacrylamide) or code 83789 Spectrophotometry, analyte not elsewhere specified should not be billed if the purpose of the step is to verify sufficient DNA for the test. This is a nonbillable quality control step.

 

What advice do you have to those who might be new to coding for molecular tests?

The most difficult area to code for is human genetic testing. The codes can be somewhat ambiguous, which can lead to multiple interpretations of the correct use of the codes. Coding in this area requires knowledge of the CPT coding rules, understanding of the current CCI edits and an understanding of the steps in the assay, why they were performed and whether the step is codable.

 

Will Medicare reimburse for ASR-based molecular tests? How are these coded for?

CMS has left the coverage decision for non-FDA approved, in-house laboratory tests (home brews) to the local Medicare contractor. Presently, the majority of Medicare payers cover in-house laboratory tests (using analyte-specific reagents (ASR)).  Once the regional contractors are in place, there may be much more uniform coverage decisions among the payers.

For human genetic testing, the coded steps must be provided with the test’s standard operating procedure (SOP) to correctly code the in-house laboratory test. Without the SOP, the coder has no knowledge of the codable steps in the procedure.

For infectious agent in-house developed tests, the laboratory would code using the specific infectious agent code, if available. If a specific code is not available, the coder would use the appropriate “not otherwise specified” code.

Finally, you have seen how coding for molecular tests has evolved over the years. What trends are you seeing in CMS’s handling of the molecular area in terms of coding? Any predictions as to what changes we might see in the coming years?

The molecular code sections for human genetic testing and for the infectious agents were first revised in 1993 and updated through the following years. Between 1993 and now, CMS’s primary focus through the CCI edits was on laboratories not billing 83912 Molecular diagnostics; interpretation and report with the infectious agent codes.

At the local level, very few contractors have local policy determinations for the molecular codes.  However, at both the national and local level, this may be changing. It is possible that CMS will use the new Medically Unlikely Edits (MUEs) table, which will be updated each quarter starting in 2007, as a tool to limit the units for molecular codes for both clinical laboratory and pathology. 

In addition, in 2006, no Medicare carrier that I know of covered the microarray code 88384 Array-based evaluation of multiple molecular probes; 11 through 50 probes. The 2007 proposed Physician Fee Schedule has again left the coverage of this code up to the local contractor.

At the local level, we may also see some limitations put in place, and, as the regional contractors are put in place, we may see even further restrictions. Apparently it is being discussed within Trailblazer, one of Medicare’s largest carriers, not to cover any of the microarray codes in the pathology section. I understand that the professional associations are aware of this and are taking steps to provide Trailblazer with information on the diagnostic value of arrays. 

More Articles By Joan Logue

Coding for Molecular Diagnostics: Tips, Pitfalls, and What’s New for 2007
Probe Billing Audits: Your Best Defense Against Increased Federal and State Scrutiny
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