RHIA Revenue Cycle and Reimbursement 2 — Questions and Answers
Question 1: Which form is used by hospitals to submit inpatient Medicare claims?
- CMS-1500
- UB-04 (CMS-1450) (Correct answer)
- ADA dental claim form
- HCFA-1450
Correct answer: UB-04 (CMS-1450)
The UB-04 (also called CMS-1450) is the standardized claim form used by hospitals and other institutional providers to bill Medicare and most other payers.
Question 2: What is the purpose of the present on admission (POA) indicator in hospital billing?
- Identify patients admitted through the emergency department
- Indicate whether a condition existed at the time of admission to differentiate from hospital-acquired conditions (Correct answer)
- Confirm patient insurance coverage at admission
- Flag high-cost DRGs for utilization review
Correct answer: Indicate whether a condition existed at the time of admission to differentiate from hospital-acquired conditions
The POA indicator identifies whether a diagnosis was present at admission, which affects Medicare payment and quality reporting by distinguishing hospital-acquired conditions.
Question 3: What is upcoding in medical billing?
- Correcting previously submitted codes
- Submitting codes for a higher level of service than was actually provided (Correct answer)
- Converting diagnosis codes to procedure codes
- Updating the chargemaster annually
Correct answer: Submitting codes for a higher level of service than was actually provided
Upcoding is a fraudulent practice of billing for a higher-paying service or diagnosis than what was actually provided or documented.
Question 4: Which coding system is used exclusively for inpatient hospital procedure coding under HIPAA?
- CPT
- ICD-10-PCS (Correct answer)
- HCPCS Level II
- CDT
Correct answer: ICD-10-PCS
ICD-10-PCS (Procedure Coding System) is mandated by HIPAA for reporting inpatient hospital procedures on institutional claims.
Question 5: What does case mix index (CMI) measure in hospital management?
- The ratio of inpatient to outpatient visits
- The average relative weight of all inpatient cases, reflecting clinical complexity and resource use (Correct answer)
- The number of complication/comorbidity codes per case
- The percentage of Medicare versus commercial payer cases
Correct answer: The average relative weight of all inpatient cases, reflecting clinical complexity and resource use
CMI is the average DRG relative weight across all inpatient cases, serving as an indicator of a hospital's overall patient complexity and expected resource consumption.
Question 6: Which revenue cycle function is responsible for verifying patient eligibility before services are rendered?
- Medical coding
- Charge capture
- Patient access / pre-registration (Correct answer)
- Accounts receivable follow-up
Correct answer: Patient access / pre-registration
Patient access (pre-registration) verifies insurance eligibility and benefits before or at the time of service to prevent claim denials due to coverage issues.
Which form is used by hospitals to submit inpatient Medicare claims?