Pulmonology Coding Alert

Reader Questions:

Sleep May Not Justify Medical Necessity

Question: When the pulmonologist in our practice completes bronchoscopies and sleep studies, sometimes he admits the patient to the hospital on an outpatient observation status. We are having problems getting paid for the outpatient observation services. Are we experiencing denials because we should consider the observations as part of the tests and not bill for them separately?


Seattle Subscriber

 
Answer: In order to meet the criteria for completing sleep studies, the patient would have to sleep in the sleep laboratory for at least six hours. But, it would be difficult for any practice to justify admitting a patient to the hospital just to sleep.
 
Usually, a patient will not require hospitalization less than 24 hours after a bronchoscopy unless a significant complication occurred before, during, or after the bronchoscopy. Otherwise, bronchoscopies do not require an overnight stay. Therefore, you should not bill for your observations unless you can justify medical necessity.