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How to Handle Billing for Clinical Trials and Research Services

Navigate the complex billing rules for services provided as part of clinical trials, including coverage analysis.

Navigate the complex billing rules for services provided as part of clinical trials, including coverage analysis.

Navigate the complex billing rules for services provided as part of clinical trials, including coverage analysis.

Handling billing for clinical trials and research services isn't for the faint-hearted. It requires a keen eye and sharp skills to align with both payer and regulatory demands. Missteps can lead to denied claims and compliance headaches. Let's break down how to approach this nuanced aspect of medical billing.

Understand the Structure of a Clinical Trial

First, recognize that clinical trials usually consist of two types of services: standard of care and study-related. Standard of care services are those that a patient would receive even if not part of a trial. Study-related services are solely for research purposes. The key is to distinguish between the two — otherwise, you could bill incorrectly and face denials or worse.

For example, consider a trial testing a new diabetes treatment. Standard tests like glucose monitoring might fall under standard care, whereas specialized blood tests for research are study-related. Know which is which.

Coverage Analysis: The First Line of Defense

Conduct a coverage analysis before billing. This is imperative. A coverage analysis determines which services are billable to payers and which must be covered by the sponsor. It’s not just a best practice but a safeguard.

Take a typical trial involving MRIs—each MRI session must be evaluated. Is it standard care or study-related? Federal regulations, Medicare guidelines, and even private payer rules can conflict. A thorough coverage analysis reconciles these differences. It’s time-consuming but saves headaches down the line.

The Medicare Clinical Trial Policy: What You Need to Know

Medicare is a major player in clinical trial billing. Familiarize yourself with the Medicare Clinical Trial Policy (NCD 310.1). It outlines what is considered "routine costs" covered by Medicare. But beware—interpretations can vary.

For instance, Medicare generally covers routine care costs, but not investigational items or services provided free by the sponsor. Confused yet? Stay sharp. Routine care might include tests required to monitor the effects of the drug being studied, but not the investigational drug itself.

Private Payer Policies: Wildly Inconsistent

Private payers introduce another layer of complexity. While Medicare’s rules are fairly consistent, private payer policies are anything but. Some adhere closely to Medicare’s guidelines; others craft their own eccentric rules.

Take UnitedHealthcare, for instance, which might demand pre-approval for any services billed as part of a clinical trial. Or consider Aetna, which might require additional documentation proving why a service wasn’t covered by the sponsor. Read the policy manuals closely. There’s no shortcut here.

Documentation and Coding: Precision is Non-Negotiable

Coding for clinical trials requires exactitude. Use the Q1 modifier for routine costs in a qualifying trial and the modifier Z00.6 to indicate “encounter for examination for normal comparison and control in clinical research program.” Miss these, and you risk denials. Worse, your practice could come under scrutiny for compliance issues.

Documentation must be airtight. Include trial identifiers, such as the National Clinical Trial (NCT) number, in bills. This ensures the payer knows the claim is part of a trial. More documentation isn’t overkill here—it’s protection.

Handling Denials: They Will Happen

Even with perfect billing, expect denials. It’s part of the game. When a denial hits your desk, act fast. Scrutinize the denial code. Is it CO-16 for “lack of information”? Perhaps it’s CO-50, questioning medical necessity. The denial letter’s language is key.

Appeals are your weapon. Have a robust process for them. Include all relevant documentation, even correspondence with the trial sponsor if it supports your case. Don’t let appeals sit—they have a clock ticking.

Communicate with the Research Team

Don’t silo the billing department. Communication with the research team is crucial. They know the ins and outs of the trial protocol and can aid in distinguishing billing nuances. Regular meetings prevent misunderstandings about what is billable and to whom.

If the research team updates a protocol, inform billing immediately. Even minor changes can ripple through the billing process, causing unnecessary denials or compliance issues.

The Final Word: Stay Informed, Stay Agile

Billing for clinical trials is not static. Payer policies change; new regulatory guidance emerges. Keeping abreast of these changes ensures that your practice remains compliant and financially healthy.

Engage in continuous education, whether through workshops, webinars, or collaborating with other billing professionals. Sharing insights on payer quirks and regulatory updates can be invaluable.

In the end, handling billing for clinical trials is a balancing act of precision, vigilance, and ongoing learning. No shortcuts exist, but the path is navigable with diligence and collaboration. Stay nimble—your practice's financial health depends on it.

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OpenRCM answers your billing questions. Arrow puts your A/R on autopilot, supercharging your billing team to do more.

  • Automate A/R follow-up

  • Resolve denials faster

  • Track real-time revenue

  • Collaborate with your team in one place

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Try OpenRCM for free

Upgrade to Arrow for more features

OpenRCM answers your billing questions. Arrow puts your A/R on autopilot, supercharging your billing team to do more.

  • Automate A/R follow-up

  • Resolve denials faster

  • Track real-time revenue

  • Collaborate with your team in one place

Arrow-CoreExchange
Arrow-CoreExchange

Try OpenRCM for free

Upgrade to Arrow for more features

OpenRCM answers your billing questions. Arrow puts your A/R on autopilot, supercharging your billing team to do more.

  • Automate A/R follow-up

  • Resolve denials faster

  • Track real-time revenue

  • Collaborate with your team in one place

Arrow-CoreExchange
Arrow-CoreExchange

Upgrade to Arrow for more features

OpenRCM answers your billing questions. Arrow puts your A/R on autopilot, supercharging your billing team to do more.

  • Automate A/R follow-up

  • Resolve denials faster

  • Track real-time revenue

  • Collaborate with your team in one place

Arrow-CoreExchange
Arrow-CoreExchange