Changes to POA Indicator ‘1’ with Version 5010 Implementation

on Thursday, 09 September 2010. All News Items

In August, CMS released Transmittal 756 to alert hospitals that effective with the implementation of 5010, IPPS hospitals will no longer report the Present on Admission (POA)  indicator of ‘1’.  The POA field should be left ‘blank’ for those ICD-9-CM diagnosis codes that are exempt from the POA reporting requirement instead of populating a ‘1’.

Also, the K3 segment, which was required for reporting POA in the 4010A1 version of the 837I, will no longer be used to report POA.  The POA indicators will instead follow the diagnosis code in the appropriate 2300 HI segment.

The compliance date for implementing Version 5010 is January 1, 2012.  All Medicare systems will be ready to handle the new standards by January 1, 2011. Medicare plans for its systems to handle the current 4010A standard and the new 5010 standards for incoming claims and inquiries and for outgoing replies and remittances from January 1, 2011 until January 1, 2012. This will allow providers who are ready to begin using the new standards on January 1, 2011, while providing an additional year for all providers to be ready.

Additional information concerning the change in POA indicator ‘1’ can be read at MLN Matters Article MM7024.  See MLN Matters Article SE0904 for more Information on HIPAA Version 5010 implementation.

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