Discussion: View Thread

  • 1.  FariHealth (FH)

    Posted 05-16-2024 18:42

    Good afternoon all,

    This is on the issue of FH and the fact that I continue to see some disinformation being circulated in litigated matters that relying on databases, and specifically FH, is not appropriate. I have been pretty surprised to see some in our community attempt to discredit the use of FH (and other databases) purporting that FH provides only "insurance reimbursement" charges or that FH is not actually representative of "billed charges" or that its use is not valid or reliable or that it does not include charges for individuals without insurance. While many attorneys try and distort what we do and how we do it, to see professionals in the field doing so leaves me scratching my head. I am not sure if it is a conscious attempt to undermine the field of life care planning or specific experts or just confusion on the part of some life care planners...but regardless, these false statements really undermine our ability to prepare valid, reliable, transparent LCPs. While many life care planners prefer different databases and IARP supports the use of a variety of them, to put false information out into the public domain about databases in an attempt to essentially try and get a leg up on another expert has been incredibly disappointing. It has been well established that FH, liked Medical Fees, Context4, etc. provide BILLED, non-discounted, non-reimbursement fees for service.  Given published, peer reviewed papers, online forums, summits, conferences, etc., the majority of life care planners use databases, to include FH. I want to bring attention to the fact that there are professionals in our community who are providing false information related to the appropriateness of databases and their data collection. My concern is as a field, that we need to maintain integrity and be accurate in our representation of our field, our data sources, proper methodology, to name a few. I am not sure if others have encountered this, but the only way to stop disinformation is to be informed. If individuals have confusion on the databases, I suggest reading about them, doing a trial, discussing with other experts, but the disinformation is really damaging to our entire field. 



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    Aubrey Corwin
    Director
    aubreyc@vocationaldiagnostics.com
    Boulder, CO
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  • 2.  RE: FariHealth (FH)

    Posted 05-16-2024 19:34
    In addition to what Aubrey says, which I completely agree with, if you have a case venued in CA and do not use a database for fees and prefer to collect information from providers and rely upon that information, it is in admissible in California courts as it is hearsay.  You have to use a published database. So, colleagues, what are you doing in California cases? Risk exclusion by relying upon what a doctor or medical/clinical practice may have told you about their fees?  This is an unreliable approach due to hearsay.

    Bob

    Robert H. Taylor
    1987 Haven'sEnd  Prescott, AZ 86305-2148

    2162 Summerlin Ln
    Longmont, CO 80503
    (928) 713-6833

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  • 3.  RE: FariHealth (FH)

    Posted 05-17-2024 09:35

    I have a couple of questions that maybe someone can clarify for me.

    1. There is a faction of life care planners who claim that Context is the most widely used data base, not Fair Health.  They have canned language that goes in every report that used to report that Fair Health was used by Texas, the VA, etc., but now says Context.  Can someone please explain why the change? 
    2. The court rulings against Fair Health, it is my understanding, were because the life care planner were using the Consumer site, not the paid version and they did not notify Fair Health that they were being challenged.  Fair Health continues to state that they will defend their data in court.  Given that the life care planners were not using Fair Health data appropriately, does that change anything?
    3. How does California deal with the fact that Fair Health and Context data are sometimes very far off of each other?  So if one life care planner is using Context 80% and the amount is $1,000 and the other, Fair Health, says that it is $600, how does the court reconcile this discrepancy?  This happens often with HCPCS codes with sometimes huge differences.  Does the court then consider individual provider's charges to determine which is most likely?

    These are real questions for me.

    Lora White



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    Lora White
    white@simsandwhite.com
    Phoenix, AZ United States
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  • 4.  RE: FariHealth (FH)

    Posted 05-17-2024 11:06

    Great questions Laura. I can only say to your question #3 that so far in CA I have not seen that discrepancy come up in my own cases either pre-trial or at time of court. Most of us life care planners who do a lot of work in CA use the same databases and come up with very similar numbers, although we may use different percentiles when forming our opinions. Even so, we are not very far off when you look at big picture and especially if home care is the biggest number in the plan where FH, Context or the others are not a factor.

     

    The problem I am seeing a lot if CA is that non-life care planners who have qualifications of being an employee of an insurance co as a billing auditor-- are coming in and trying to undermine the established life care planning methodologies. They have no training, education or work experience as a life care planner or as a case manager.  These folks are applying rules of how an auditor would look at a past bill, that includes  physican documentation, and then stating that this concept works looking forward as well-- despite the fact the procedure has NOT yet taken place and there is no physician documentation yet.  An example is that I coded an epidural as transforaminal and this auditor comes in and tries to state that the appropriate code would be intralaminar and that code is less expensive by the way. She did not consult a physician and had no basis for her opinion. That is a ridiculous notion.  The physican giving me the recommendation was not that specific and he is not the one who will do the procedure 5 years from now. No one knows which epidural it will be until it actually takes place. We use the information we have to make the best decision we can at the time that we write the plan. We use probabilities based on our own experiences, education and training.  When I wrote my plan, I did NOT look up the two codes and pick the most expensive one, but that seemed to be what the defense was trying to accuse me of. I am sure she DID look up both codes and picked the less expensive one. These billing auditors keep showing up again and again in my cases. And while I do 50 50 plaintiff and defense, these people are NEVER on a plaintiff case.

     

    Done venting...

     

    Tracy Albee, RN LNCC CLCP FIALCP

    MediLegal NV LLC

    254 Shaded Canyon Drive 
    Henderson, NV 89012

    209-833-7251

    tracy@medilegalinc.com

     

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  • 5.  RE: FariHealth (FH)

    Posted 05-16-2024 19:59

    Agree 100% Aubrey.  Databases are reliable because they collect CHARGE data from all payer sources and analyzes all those charges to provide a breakdown by percentile of what is charged in the community.  

    Too many people confuse charge with reimbursement rate.  I am fond of saying providers can charge whatever they want, but that doesn't mean they will get paid that amount.  


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    Becky Czarnik, MS, RN, CNLCP
    Certified Nurse Life Care Planner
    Becky@sierranurse.com
    775.853.1125
    Reno, NV
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  • 6.  RE: FariHealth (FH)

    Posted 05-17-2024 00:30

    I have found the challenge in defending FAIRHealth data lies not solely in the data itself, but rather in its varied applications as well as each individual users' utilization of the data, e.g. their selection of percentiles, etc. While my perspective on reviewing critiques of FAIRHealth may differ from Aubrey's observations, I've not encountered claims that FAIRHealth aggregates reimbursement data, which I would agree, from my understanding, is not what FAIRHealth does.


    It is a fact however that FAIRHealth relies on insurance companies for its charge data and therefore does not include data from uninsured cash payers. It is a fact that FAIRHealth data is also utilized for setting reimbursement rates. Medical insurance companies, for example, rely on FAIRHealth to establish fee schedules for their allowed amounts. Recent state Supreme Court rulings have upheld insurance companies' rights to rely on FAIRHealth data for reimbursement rate-setting, and FAIRHealth explicitly states this use case in its methodology overview. 


    To Becky's point, when poorly defined, applied, or misunderstood by its users, FAIRHealth data can inadvertently create the impression that the same data used for life care plans also determines insurance reimbursement rates, which I understand is not necessarily always the case and depends on the FAIRHealth product utilized. Nevertheless, it is the individual user's responsibility to make this clear to an opposing expert or to the Court, when called to educate others on their use of such data. 


    FAIRHealth's derived methodology has also faced scrutiny under legal challenges, which I understand FAIRHealth is currently phasing out, although this remains a vulnerability.  


    Regarding Bob's point about risking exclusion for relying on hearsay in certain jurisdictions, this same argument has been successful in excluding experts for their reliance on FAIRHealth on more than one occasion. One aspect that I've read feeds into this argument is FAIRHealth's prohibition on licensees from defending FAIRHealth's methodology in legal challenges. This restriction requires FAIRHealth to enter an affidavit to the Court, which I have read to be poorly reflected upon by the Court as "borrowed expertise" (hearsay), in instances where FAIRHealth has been excluded.


    While I view the utilization of cost databases and the statistical aggregate of costs to be generally appropriate in most cases, much like the use of aggregated wage data; it should be used in line with its own set of precautions and understanding of how each database works and is designed to be applied. All this is to say that databases are not foolproof or omnipotent and require their users to be aware of each database's strengths and weaknesses as a measure of the expert's responsibility for relying on such data.



      Thank you,


    John R. Cary, MA, CRC, CDMS 


    A blue and black logo  Description automatically generated 

    Ph: (509) 415-3776 

    F: (509) 945-8624 

    Cary Planning Group LLC  


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  • 7.  RE: FariHealth (FH)

    Posted 05-20-2024 11:28

    delayed response 

    1. I cant wait until the costing committee is done with its work so a lot of noise on the subject is settled. too much focus and derailment on the subject will only promote uneducated bad case law that will hurt all parties.
    2. In my experience when I experience questions or review other LCP  work the biggest vulnerability is not understanding what happens when a bill is generated and what happens and how costing data gets into these various databases. 
    3. Optum FH PMIC et all is capturing (mostly group health claims data v third party liability data) they redact it down to the cpt code or grouping code and price. and yes they collect paid data - just need to know what you are looking at.
    4. the charge capture data is redacted from license type and diagnosis and modifier 
    5. thus the reason i always pull the price then analyze 
    6. i don't directly advocate well i always use the x percentile as ucr - I would rather encourage I selected the 80th based upon  review etc My analysis concludes...
    7. i have seen  experts get into trouble when they say hay you can contact FH they have attorneys- dangerous because you are the expert
    8. why are some data bases slightly different - well if you read PMIC that company services include practice management they may have more organizations that can pay consultants - the timing of the pull of data maybe impacted by the type of claims at that time period 
    9. if you get stuck from an opposing expert that is focused on costing critiques I am happy to help send me a note  


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    Rebecca Busch
    CEO
    rebecca@mbaaudit.com
    Westmont, IL United States
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