Dive Brief:
- The cost and time it will take for small physician practices to transition to ICD-10 codes by Oct. 1 will be less than originally projected, says a recent study published in the Journal of the American Health Information Management Association.
- To conduct the research, the Professional Association of Health Care Office Management took a poll of 276 practices that have fewer than six providers and found that the cost per practice averaged $8,167. The cost per provider averaged $3,430.
- "Our members reported actual data on expenses to date and costs still remaining," PAHCOM Director Karen Blanchette said in a prepared statement, adding, "The PAHCOM survey is the most comprehensive and current data on ICD-10 implementation costs actually being incurred by small physician practices."
Dive Insight:
Considering that earlier estimates based on a 2014 Nachimson Advisors report had ranged from $22,560 to $105,506, the update is certain to come as welcome news—and raise a few eyebrows. As recently as Tuesday, urologist Dr. Jeff Terry told a Senate subcommittee that ICD-10 will "certainly put some physicians out of business."
Blanchette said the association had been hearing conflicting information about the impact of the ICD-10 transition on small physician practices. Their goal was to bring clarity to the issue by surveying their members, who are office managers representing solo physicians and small groups across the US.
The study suggests the financial impact is turning out to be less than expected due to the adoption of electronic health record systems; the availability of "nominal cost" educational materials; and vendor responses such as free software updates.