MEDICARE CLAIMS NOW REQUIRED TO BE Y2K COMPLIANT

Beginning this week, all bills submitted by health care providers for services to Medicare beneficiaries are expected to be Year 2000 compliant. The Medicare program and its contractors have provided notification to providers since last year that Year 2000 compliant claims would be expected beginning this week. The action will help assure that providers are preparing their computer systems for the date change on Jan. 1, 2000.

To be reimbursed for Medicare claims, doctors, hospitals and other health care providers must now submit bills that use 8-digit dates in order to be paid by the private insurance companies that process and pay Medicare claims.

"With compliant systems, health care providers can be sure they will be paid promptly after Jan. 1, 2000, for the health care services they provide to Medicare beneficiaries," HCFA Administrator Nancy-Ann DeParle said. "We're encouraged that most of the Medicare claims now being submitted are already Y2K compliant. That's an important first step toward making all their systems compliant."

The ability of a health care provider to submit claims in a Y2K-compliant format is an indication that a critical and necessary step has been taken toward full Y2K readiness in their offices. In addition to readying their billing systems for the year 2000, health care providers should also be remedying the Y2K bug in all their computer systems and in the various medical devices used to diagnose problems and treat patients. Within the Health Care Financing Administration, which administers Medicare, all internal computer systems are now Y2K compliant.

As of March 31, 78 percent of Part A electronic billers such as hospitals, skilled nursing facilities and home health agencies were submitting Y2K compliant claims. Most of these bills are submitted by the facility or an outside billing company. In addition, as of March 31, nearly 100 percent of the claims submitted to HCFA's Part B contractors were Y2K compliant. Most of the Part B claims are submitted by billing centers or clearinghouses, on behalf of the more than 900,000 doctors who provided care to Medicare beneficiaries.

HCFA has been conducting an unprecedented outreach effort to inform and help them meet the Year 2000 challenge. Software has been made available through Medicare contractors, and HCFA has established a toll-free telephone line, 1-800-958-HCFA (1-800-958-4232) and posted materials and information on the Internet at http://hcfa.hhs.gov/y2k.

Callers to 1-800-958-HCFA (1-800-958-4232) will be able to get answers to Y2K questions that relate to medical supplies, their facilities and business operations as well as referrals for more specific billing information relating to Y2K issues. The toll-free line will also update callers on HCFA's Y2K policies as well and provide general assistance to help callers prepare their own computer systems for the millennium. HCFA is also holding educational conferences throughout the country.

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