Home Health & Hospice Week

Industry Notes:

Hospice VBID Billing Glitch Harries Providers

Even though the Medicare Advantage Value-Based Insurance Design (VBID) Model’s hospice carve-in is scheduled to sunset at the end of the year, hospice still must deal with billing headaches right now.

The problem: When hospice providers send all notices and claims to both the participating MA Organization and their relevant Medicare Administrative Contractor, “some … claims processed by the MACs are not receiving the correct outcome,” HHH MAC Palmetto GBA reports on its website. “Since the April 2024 System Release, more claims are being paid when they should reject for VBID enrollment, Reason code U532A. Some claims have rejected with U523A when they should not have,” the MAC adds.

The solution: “If a Medicare VBID claim was processed and paid or rejected incorrectly prior to April 1, 2024, the hospice may attempt an adjustment to receive the proper outcome,” Palmetto suggests. Otherwise, “Palmetto GBA will provide updates as soon as they are available,” the MAC pledges.

Tip: “To help hospices determine who is the payer in VBID, CMS has developed the CY 2024 VBID-Hospice Supplement to Technical and Operational Guidance,” Palmetto offers. “See the coverage scenarios on page 3 and Table 1, Payment Coverage Scenarios, on page 6.” The document is at www.cms.gov/files/document/vbid-hospice-technical-guidance-cy2024.pdf.

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