While Missouri critical access and rural hospitals aren’t currently scheduled for RAC Reviews, now is the time to prepare. During a Rural Health Resource Center conference call on this topic, some helpful tips were relayed. View the RAC federal website here. Click here to view a list of common errors being found in RAC reviews. The following is a list of helpful guidelines to follow.
- Review the ABN process (ABNs may shield from a RAC Review)
- Internal and external audits need to be conducted prior to a RAC review (coding reviews, documentation to support medical necessity)
- Focus on pharmacy and therapy and the billing of “units” of service
- Review appropriateness of place of service, i.e. observation, inpatient short stays, 3 day hospital stay requirement for swing bed and SNF admission
- Think about establishing a reserve fund
- Someone needs to be dedicated to log, respond, follow-up and understand RAC reviews. Deadline for responding is 45 calendar days.
- Watch remittance advise for code N432, which indicates an adjustment based on RAC review
- Monitor any previous reports from Medicare, track denials (by service, physician, etc.). Fix errors once recognized
- Review Office of Inspector General and Government Accountability Office reports on their website.
- Review policies of UR, Case Management, and Discharge Planners
- Be sure hand-written notes are legible.