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TEA M H C RS Team HCRS Value Proposit ion September 1, 2011

Team Hcrs Presentation Review Draft V2a 08 30 2011

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Page 1: Team Hcrs Presentation Review Draft V2a 08 30 2011

TEAM HCRS

Team HCRSValue

Proposition

September 1, 2011

Page 2: Team Hcrs Presentation Review Draft V2a 08 30 2011

2

Overview

About our firms Why us? Our approach Questions and feedback

Page 3: Team Hcrs Presentation Review Draft V2a 08 30 2011

3

About

HCRS

Medical Coding, Auditing and Payment Integrity Specialists

More than 150 certified medical professionals on staff

Operating at 70 sites in over 40 states In business since 1998 Woman- and Minority-owned business

A Major Provider of Health Information Management Services

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HCRS

Clients

Page 5: Team Hcrs Presentation Review Draft V2a 08 30 2011

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About

TC3

Since 2000, providing comprehensive claims cost management services to diverse group of 70+ payer clients nationwide, including health plans, Managed Medicaid Plans, Medicare Advantage Plans, TPA’s, and Taft Hartley Funds

Experienced team of multidisciplinary professional staff including: Special Investigators specializing in complex health care fraud

investigations Managed care professionals experienced in both commercial and

government programs Registered Nurses Certified coding professionals (RHIA, RHIT, CCS, CCSP, CPC, CPC-H)

Able to manage large claim volume. Currently processing over 75 million claims annually with a claims value of over $55 billion through its fraud, waste, abuse and other payment integrity programs

Expert Payment Integrity Services

Page 6: Team Hcrs Presentation Review Draft V2a 08 30 2011

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Single Entry Point – High Impact Savings

Paid Claims

Discovery

Validation

Recovery

Provider MatchClaim DiagnosticsClaim AnalyticsClinical Code EditingDuplicate Detection

Analysis of Automated ResultsComplex/Medical Record Reviews

Letters to ProvidersFollow-up Calls to ProvidersClient PortalCustomer Service Center

About

TC3

0.5%-3% Savings

Page 7: Team Hcrs Presentation Review Draft V2a 08 30 2011

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Overview

About our firms Why us? Our approach Questions and feedback

Page 8: Team Hcrs Presentation Review Draft V2a 08 30 2011

8

Our

Value

Current Medicaid audits, including Louisiana High ROI audits Payment Integrity services to more than 70

payers Over 65 successful contingency contracts Leading-edge technology integrated with

experienced staff Assertive, professional recovery efforts Prevention as well as recovery services

Team HCRS Combined Capabilities

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Our

Value

MIC audit subcontractor for nineteen states and three territories (HCRS), including collaborative field audits with the State of Louisiana focusing on hospitals and long-term care facilities

Special state-level inpatient audits for Maryland and Virginia (HCRS)

Subcontractor for Overpayment Identification for the State of New Jersey (TC³)

Focused audits related to transportation and translator services for Managed Medicaid Plan in MN (TC³)

Current Medicaid Audits

Page 10: Team Hcrs Presentation Review Draft V2a 08 30 2011

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Our

Value

Louisiana Learning to Date

0

200

400

600

800

1000

1200

1400

Samples

% Audit Discrepancies By Provider Type(n Samples >100)

# Samples

# Discrepant 100%

85%

100%

80% 68%

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Our

Value

Louisiana Learning to Date

$2,586

$214 $371$84

$346

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

Average Value of Overpayments by Provider Type (n Samples >100)

Average Overpayment

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Our

Value

High ROI for Audits

HCRS MIC results have exceeded $8 in incorrect payments for every $1 spent on audit– High-quality data analysis results in greater

return for the type of overpayments that are the focus of each audit

– Highly-experienced auditors identify more additional errors beyond the primary focus of the review

TC³ averages 5:1 ROI TC³ achieves range of .5%-3% reduction

in paid medical claims cost

pnathanson
We are talking about audit here. Is the reduction range cited for audit or for "integration?" And how does that tie with the numbers on slides 6 and 13?
Page 13: Team Hcrs Presentation Review Draft V2a 08 30 2011

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Our

Value

Payment Integrity Services for More Than 70 Payers- Tangible Results

Prevention – Cost avoidance through pre-payment integration 0.5-3% of paid medical cost reduction

0

50

100

150

200

250

300

11 13 25 28 30 45 48 60 62 80

Savings ($Ks)

# of Members (Ks)

Monthly Savings

Recovery – Customized pursuit of VALID overpayments leads to successful recoveries and few appeals

Feedback – Identify and fix root causes to avoid future overpayments

pnathanson
Again, we may be tying cost reductions too closely to prepayment review...
Page 14: Team Hcrs Presentation Review Draft V2a 08 30 2011

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Our

Value

Proven Results“HCRS is a group of professionals who really know their business. They’re reliable, easy to work with, and they deliver. We’ve been increasing the amount of work we do with them, and we see them as a long-time partner as we expand our presence in Medicaid payment integrity.”Vice-President, Business Development, OptumInsight (formerly known as Ingenix)

“HCRS’ performance has not only been superior, but timely…At AETC we are consistently asked what has generated such success, I can honestly say the contract partnership with HCRS is at the center of our success.” Chief, Medical Resource & Programming Branch, Headquarters, Air Education and Training Command, United States Air Force

“We wanted to save money for our groups and members. All goals have been surpassed on all levels with TC³. The company helped us streamline our internal processes and reduce administrative work by integrating with external data sources. We are confident we’ve retained a highly-respected long term partner for more efficiently controlling costs.”Client for 7+ years

“Our experience with TC3 has been excellent. Not only is their technology state of the art, but their commitment to customer service is outstanding.” Vice President-Operations, The Loomis Company

Page 15: Team Hcrs Presentation Review Draft V2a 08 30 2011

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Our

Value

Highly Experienced and Successful Contingency Contractor

Execution of successful contingency fee based relationships for over 8 years

Goals aligned – Accurate, sustainable findings, recovery process that maintains positive provider relationships

Conservative approach - TC³ is sensitive to the challenges faced by providers in today’s healthcare climate. The focus is not on penalizing providers.

Mature technology and processes in place to support contingency fee contracts

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Our

Value

Integrated Approach – Technology and Experienced Staff Discovery – Technology to identify overpayments and suspect

claims• Provider Match Program – Watch Lists• Claim Analytics – Algorithm based technology powered by

DataProbe®

• Claim Diagnostics - Rules-based technology powered by TC³’s TruClaim engine

• Code Edit Compliance and Duplicate Detection Triage, Validation and Recovery

• Post-payment review – Systematic validation of automated reviews. Complex reviews performed by qualified staff

• Recovery process customized to client specifications• Pre-payment option – Pay/Deny results within 24 hours.

Complex reviews available.

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Findings - Examples

Non-Emergency Transportation Identified 57,009 claims billed with a transportation code with no

corresponding medical claim (including dental/chiropractic encounter claims and pharmacy/PBM claims) for the same member and same date of service. The corresponding dollars paid for these transportation claims was $3,025,502.86.

Translator Services Review of the data indicated that there were 24,935 claims

submitted for interpreter services for dates on which no other service was apparently provided. The dollars paid for these claims was $1,315,676.43.

Personal Care Attendant Services There were no medical claims found for many members receiving

daily PCA services. PCA services provided while the member was inpatient totaled a paid claim amount of $24,668.97. The number of units billed for single dates of service appears excessive. Daily services were billed by a provider whose address is a 1-2 hour drive from the home of the member (potential for services not rendered.)

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Our

Value

Assertive, Professional Collections

Customized process designed by the State of Louisiana (amount of time, number of letters, and phone effort)

All payments can be directed back to any source that the State chooses.

The State of Louisiana has access to all phases of effort through a Client portal established in your name.

All phone conversations are recorded for quality assurance and are available for review by the State.

Client has total control over any account in the system and can withdraw, suspend, or cancel our efforts at any time.

Fully HIPAA compliant All services are entirely based in the United States and

performed by personnel with specific skills in health care related recovery

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Our

Value

An Option: Prevention Capability and Experience

Pre-payment solution includes daily claim scrubbing to identify potential overpayments

Utilizes same components and technology as post-payment solution

Identify root causes that contribute to overpayments and provide feedback to address these issues.

Why Pre-payment? Cost avoidance in real time, deterrent effect, individual claim denials more acceptable than mass recoveries

Page 20: Team Hcrs Presentation Review Draft V2a 08 30 2011

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Overview

About our firms Why us? Our approach Questions and feedback

Page 21: Team Hcrs Presentation Review Draft V2a 08 30 2011

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Our

Approach

Approach Overview

Data Mining/Analysis

Record Request & Handling

Record Review

Collections

• Multilayered approach blends technology and human expertise

• Achieve and validate focus through traditional edits, proprietary diagnostics/analytics + your input

• Local call center and scanning staff – we train in customer service and provider relations

• We are experienced in f/u, scanning in Louisiana (Audit MIC subcontract)

• Initially, our experienced coding and pharmacy auditors (later, local hires)

• RN auditors for medical necessity review• Medical necessity decision by physician

• Continuous consultation with state on individual cases

• Appeal process IAW law and regulations• Sensitive, prudent persistence

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Our

Approach

Process Overview

Run through customized screening protocol

Claims data file

Validate, report

potential over/under-payments to

MVA/PIS

MVA/PIS guidance

Review?

· Data mining using TruClaim (proprietary) and Data Probe (Thomson Reuters)

· Suspect provider data bases

· MVA/PIS targets· 100+ Proprietary and

traditional algorithms· Code edit and duplicate

detection technology· Validation studies · Continuing updates

Collect /refund?

Yes

No

Collection or refund IAW Louisiana law/regs

Feedback to process

Yes

CORE/TruClaim Case Tracker

Synthesize experience,

identify trends for study, and

update screening protocol

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Our

Approach

Implementation Plan

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Overview

About our firms Why us? Our approach Questions and feedback