Quote:
Originally Posted by ECHOES
The amount that the reimbursement is based on generally changes quarterly, based on reporting and is based on a large geographical area based on a range or zip codes. That is how they apply Reasonable & Customary (R&C) or Usual & Prevailing (U&P) or whatever your insurance comapny may call it. All professional services are paid at the Customary or Prevailing fee rate for the geographical area in which the service is performed--medical doctor visits too. This way they reimburse consistently and how expenses are limited to a reasonable amount. A provider can charge $52,225 for an office visit, but reimbursement is limited to the R&C or U&P amount.
The reason they paid more for the 1st visit is because an initial visit is more complex, and is billed with a different procedure code than subsequent visits. How they paid the subsequent visits is how they will probably pay the remaining visits.
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That all makes sense, Echoes. But this was not what the insurance rep told me.
All my appointments have the exact same procedure code, same diagnosis code, and yet each one is being reimbursed at a different rate based on the going rate for that particular day.