Surgical reimbursement is calculated based on a percentage of the charge amount.
You can configure the modifier reimbursement in File Maintenance . The Modifier Reimbursement tab enables you to create a series of modifiers and modifier combinations that are associated with a percentage reduction of an allowed amount. If the system cannot find the exact CPT®4 code and modifier combination on the Fee Schedule tab, it uses the percentage on the Modifier Reimbursement tab.
For example, the scenario under which this tab would be referenced is as follows:
- You enter a charge and specify a two-digit modifier.
- The system attempts to find the row in the Contracts library Fee Schedule tab, but the CPT®4 code and modifier combination that was entered does not exist in the contract.
- The system attempts to find the row in the Fee Schedule tab by using only the CPT®4 code without the modifier and succeeds.
- The system attempts to find the row in the Contract Modifier Reimbursement tab using only the modifier that was specified on the charge entry screen and succeeds.
- The system uses the row found in the Fee Schedule tab. However, it reduces the allowed amount by the percentage specified on the Modifier Reimbursement tab. All percentages from the reimbursement row are used to predict the payment amount, not the flat dollar amounts (because a new allowed amount was determined).