Get ready for MS-DRGs: Model the financial impact of changes

In advance of the proposed October 1 implementation date for MS-DRGs, organizations should calculate how MS-DRGs could impact their Medicare reimbursement. The proposed rule contains enough information to simulate Medicare Financial Year 2008 payments.

Remember, there will be winners and losers as Medicare funds are redistributed.

• Assemble a set of historical or current claims.
• Assign MS-DRGs and compare your new severity-adjusted casemix against what it would be without severity adjustment.
• Calculate how your revenue will change under MS-DRGs.
• Identify areas where dollars are shifting.
• Prioritize potential problem areas by dollars, volume, physician, department, etc.

• A free online MS-DRG grouper for organizations to preview the impact of CMS’ new severity-adjustment system.
• A webinar, presented by yours truly, on the financial impact of MS-DRGs. I've developed this webinar to help both hospitals and health insurers identify the risks and opportunities that are inherent under the new system.
• Custom financial impact analysis, where my team utilizes your hospital's data to determine how your bottom line will be affected by Medicare's 2.4 percent reduction in payment, see which service lines will become more or less profitable, and more.