HHS Announces Proposed Delay of ICD-10 until October 1, 2014

On Monday April 9, 2012, the Department of Health and Human Services (HHS) announced a proposed rule that would delay, from October 1, 2013 to October 1, 2014, the compliance date for the International Classification of Diseases, 10th Edition diagnosis and procedure codes (ICD-10).

The ICD-10 compliance date change is part of a proposed rule that would adopt a standard for a unique health plan identifier (HPID), adopt a data element that would serve as an “other entity” identifier (OEID), and add a National Provider Identifier (NPI) requirement. The proposed rule was developed by the Office of E-Health Standards and Services (OESS) as part of its ongoing role, delegated by HHS, to establish and adopt standards for electronic health care transactions under the Health Insurance Portability and Accountability Act of 1996 (HIPAA). OESS is part of the Centers for Medicare & Medicaid Services (CMS). As with other proposed rules, this will entertain a 30 day comment period after the publication of the Federal Register (expected to be April 17). See page 2 of the rule to learn how you can provide commentary.

HHS notes how important it is for all covered entities to transition to ICD-10 at the same time, as failure for any one industry segment to comply would negatively impact all other industry segments, resulting in rejected claims and provider payment delays. “Provider groups have expressed strong concern about their ability to meet the October 1, 2013 compliance date and the serious claims payment issues that might then ensue” HHS notes in the proposed rule. “We believe the change in the compliance date for ICD-10, as proposed in this rule, would give providers and other covered entities more time to prepare and fully test their systems to ensure a smooth and coordinated transition by all industry segments.”