Question

WHEN PATIENT SIGN BLOCK 13 OF THE CMS-1500 CLAIM TO INSTRUCT THE PAYER TO DIRECTLY REIMBURSE THE PROVIDER IT IS KNOWN AS

A-ASSIGNMENT OF BENEFITS
B- NOTICE OF PRIVACY PRACTICE
C-COORDINATION OF BENEFITS
D-CODE LINKAGE

Answer 1

The signing of block 13 on the CMS-1500 claim for direct reimbursement to the provider is known as Assignment of Benefits. Option A is correct.

Step-by-step explanation:

When a patient signs block 13 of the CMS-1500 claim to instruct the payer to directly reimburse the provider, it is known as Assignment of Benefits. This means that the patient authorizes their health plan to directly pay the healthcare provider for the services obtained. The alternative options such as Notice of Privacy Practice, Coordination of Benefits, and Code Linkage are separate concepts within healthcare and insurance practices.

The Notice of Privacy Practice is a component of the Health Insurance Portability and Accountability Act (HIPAA), ensuring the protection of patient information, whereas Coordination of Benefits pertains to the process of determining the order of responsibility when a patient is covered by multiple insurance plans. Code Linkage refers to the connecting of diagnosis and procedure codes on the claim form to substantiate the medical necessity and appropriateness of the services provided. Understanding these terms is crucial for accurate and lawful healthcare service reimbursement.