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Multiple Choice

Which of the following was developed to reduce Medicare program expenditures by detecting inappropriate codes and eliminating improper coding practices?

The National Correct Coding Initiative is designed to curb improper coding by applying edit rules that identify when certain code pairs should not be billed together or must be bundled appropriately. By checking claims for these inappropriate pairings during processing, Medicare can deny or adjust payments, reducing overall expenditures and encouraging correct reporting. Other options serve different purposes: RAC audits payments after they’re made to recover improper amounts, LCDs set coverage policies for specific situations, and CPT is simply the coding language used for procedures.

The National Correct Coding Initiative is designed to curb improper coding by applying edit rules that identify when certain code pairs should not be billed together or must be bundled appropriately. By checking claims for these inappropriate pairings during processing, Medicare can deny or adjust payments, reducing overall expenditures and encouraging correct reporting. Other options serve different purposes: RAC audits payments after they’re made to recover improper amounts, LCDs set coverage policies for specific situations, and CPT is simply the coding language used for procedures.