Effective January 1, 2021, major changes were made to the evaluation and management (E/M) services Current Procedural Terminology (CPT®) code set and reporting guidelines to reduce documentation burdens, simplify coding and allow physicians to spend more time with patients. Unfortunately, some health plans are disputing E/M levels for submitted claims and implementing E/M downcoding programs that inappropriately—and often automatically, through claim editing algorithms—reduce payment for provided services.
The American Medical Association (AMA) has created a new resource to support physician practices in navigating such payer E/M downcoding programs. The document offers examples of downcoding scenarios, sample plan communications, guidance on reviewing remittance advice to identify downcoding and documentation tips to support successful appeals. Also included are sample downcoding appeal letters, which are available in an editable format on the AMA website. The AMA has created an informational survey to track health plans’ downcoding programs and further support physician practices in responding to payer downcoding initiatives.