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Assignment: Coding Accuracy Case Study

The importance of accuracy in medical coding cannot be overstated. Proper coding leads to proper payment. Unfortunately, some providers and organizations attempt to manipulate revenue by coding for more services at a higher level of complexity in order to get larger reimbursements from insurance companies. This practice is known as “upcoding.” The Healthcare Financing Administration (HCFA) does monitor for upcoding, but its processes are not adequate, and many upcoded claims for diagnosis-related groups (DRG) are overlooked.

In this Assignment, you consider a case study about the HCFA’s monitoring of upcoding and develop an action plan for improving the monitoring process. You also discuss the elements that should be included in a payment error prevention program and the implications of fraud and abuse in healthcare.

To prepare for this Assignment:

  • Read the document, “Case 9: Coding Accuracy,” ( attached )
  • Reflect on how DRG upcoding was detected through electronic claims data.

The Assignment (2- to 3-page paper):

After reading the case study thoroughly, write a paper in which you respond to the following:

  • Propose an action plan outlining what the Healthcare Financing Administration (HCFA) should do to monitor DRG upcoding.
  • Recommend key elements to be included in a payment error prevention program.
  • Explain the implications of fraud and abuse for this case. Then, discuss the broader implications of fraud and abuse. What are the consequences, and who is impacted?

Provide specific examples in your paper. Support your post with the at least TWO current, outside scholarly article (less than 5 years old).

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