tci ED Coding & Reimbursement Alert - 2003 Issue 1

The Right Path to Observation Code Payment

Walk the chosen path to observation care payment: Follow the "TAO" guidelines presented by James Blakeman, senior vice president of Healthcare Business Resources in Bala Cynwyd, Pa. One way to make sure you can report observation care codes is to check that your documentation supports them. The mnemonic device "TAO" will help. Verify that documentation shows that all three "letters" apply: T: Time taken for observation care was a diagnostic tool for determining further diagnosis and not a matter of convenience.A: Admission or transfer was a real possibility, not foregone.O: Order for observation care is written in...

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