Have you ever shaken your head over medical billing codes?
You’re not alone! One code that individuals easily get confused with is code POS 22. Don’t fret – because we’re going to explain it in basic terms for you in this post.
POS 22 in medical billing is a specific place of service code that physicians utilize in billing their services. However, we will explain the POS 22 description, some basic facts about the usage of POS 22, and why it is important. We will also explain the classification of POS 22 and its confusion with the similar POS 11.
Well, sit back and let us clear this little piece of medical billing terminology for you!
Understanding POS 22 in Medical Billing
POS 22 or Place of Service 22 is another critical code in medical billing that means the service is provided on Campus-Outpatient Hospital. Whenever you come across this code in a medical bill, it is a sign that the doctor has given the service in an outpatient department/ facility situated within the hospital.
Key Features of POS 22
POS 22 is for individuals who get services, but not hospitalized. Here are some important points to remember:
- It applies to services to registered hospital outpatients.
- The facility has to be affiliated with the hospital campus, they cannot be located in a different area.
Why POS 22 Matters?
The right POS code is essential because it determines how your claim is processed and paid for. POS 22 will always fetch a lower pay than other positional codes such as the POS 11, which represents a category of physician’s office. This is because for on-campus service, the hospital suffers more overhead costs.
As you can see POS 22 plays an important role in proper billing and prevents you from having the claims denied or delayed.
When to Use POS 22 in Your Medical Billing?
POS 22 which means “On Campus-Outpatient Hospital” is among the most important codes used while billing in the medical field. You will refer to this code whenever you’re providing services in a part of the main campus of a hospital that provides outpatient diagnostic, therapeutic, and rehabilitation services.
Main Applications of POS 22
You should use POS 22 when:
- This service entails the patient being treated in an outpatient unit or Department based on a main hospital.
- The burden of cost for the facility is a direct responsibility of the hospital.
- The service operates in a premise that is under the ownership of the hospital but within the main compound.
There are lots of advantages that you will reap once you learn to use POS 22 correctly.
Using POS 22 correctly can offer several advantages:
- It provides prospects for adding value for the requirements of concrete billing intervals.
- These codes make billing to be more efficient and less tiresome for one to go through.
- The right code makes better patient relations and organizational performance.
Just as a reminder POS code should be selected properly so that the claims have to be submitted correctly and adequate reimbursement is received. The wrong approach causes claim rejections, delays and monetary losses for your practice.
POS 22 vs POS 11
POS code 11 is commonly claimed for services given in a physician’s practice, while POS 22 description defined as the service is given in an outpatient hospital facility. Decisions about which of these codes to use may have effects on your compensation for the service. Typically, POS 11 attracts more payments because in our patient department, the hospital incurs correspondingly higher overhead costs. Always ensure you use the right code because it is the only way you will be able to submit the right claim and to be reimbursed for the right amount.
Key Differences Between POS 11 To POS 22
Location And Setting
POS 11 stands for Physician’s office while POS 22 represents Outpatient hospital. Such differentiation is crucial bearing in mind that the cost of services determines the amount charged and the amount to be reimbursed.
Cost And Reimbursement
POS 11 tends to impose lower out-of-pocket costs than POS 22 giving insurance policy subscribers a better bargaining power. As to the reimbursement rates, however, the rates are actually higher for POS 22, especially for the hospital-based services, which are always more expensive than based clinic services.
Billing And Claims
The key factor that highly depends on the choice between POS 11 and POS 22 is your medical billing. Employing the wrong code means that a claim may be denied to costlier reimbursements. This is the reason why it is important to confirm the type of the facility to which services are delivered in order to perform billing.
System Complexity
POS 11 is comparatively easy to use and recommended for practices with a limited number of employees. On the other hand, POS 22 is more professional and equipped with customization features for large healthcare-oriented businesses. Therefore, more complicated billing requirements.
Conclusion
And that is it – POS 22 defined and explained in relation to medical billing. For patients, it can reduce confusion concerning those awkward medical bills, while for providers it builds on a tool for decoding the same bills. Just a reminder that POS 22 deals with the hospital outpatient only, while POS 11 is for office visits only.
Managing such issues is not easy at all. That is where outsourcing your medical billing services to DWP Medical will be very resourceful to you. Using our knowledge in this area, the claims will be coded as they should be while making proper utilization of POS 22. This can make your billing simpler and more accurate. Therefore, with DWP Medical, get ready to increase your revenue since you recover your costs from the insurance companies faster.