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Mitchell ClaimsLab™ Releases New York Fee Schedule Analysis Report

—August 06, 2013
Mitchell ClaimsLab™ Releases New York Fee Schedule Analysis Report

New whitepaper explores impact of changing regulations related to New York personal injury claims; uncovers increase in chiropractic treatment and charges

SAN DIEGO, CA—August 6, 2013—Mitchell, a leading provider of technology, connectivity and information solutions to the Property & Casualty claims and Collision Repair industries, today announces the release of its latest whitepaper titled, “New York Personal Injury Protection Medical Fee Schedule Analysis.” The report provides an in-depth look at how changes in the New York (NY) State fee schedule led to modifications of chiropractic treatment patterns and increases in their average daily charges. Nearly 20,000 NY personal injury claims were analyzed for this report, revealing a 36% increase in average daily charges for chiropractic treatment after the new legislation was enacted. Left unmanaged, these behavior changes could result in higher claim severity.

Findings from the report included both expected and unexpected changes in billing behavior. On the expected side, dramatic increases in utilization of procedure code 97124 (Therapeutic Massage) and procedure code 97010 (Hot or Cold Packs) were identified. Dr. Ed Olsen, Mitchell Senior Casualty Consultant noted, “the statistically significant increased utilization of physical medicine procedure codes occurring within months of the fee schedule change was expected as chiropractors were allowed to unbundle their services to more accurately identify the treatment provided.”

The report also found that several unexpected services experienced dramatic increases in utilization and charge since the fee schedule change. Examples of these unexpected changes include procedure codes 95851 (Range of Motion Testing) and 95831 (Muscle Testing). These unexpected changes are seen on those procedure codes that fall outside of the daily physical medicine treatment cap found in the NY State Chiropractic Fee Schedule, that limits the daily reimbursement rate for chiropractic services.

According to Keith Peterson, Ph.D., Vice President of Advanced Analytics and Consulting, “This report is another example of how Mitchell ClaimsLab is able to use analytics to gain a deeper understanding of changing regulations upon the P&C Insurance industry.” Knowing the potential impact of these changes allows the P&C industry to better manage claim expense while improving the accuracy of policy rates.

To read the entire report, please visit: http://www.mitchell.com/news/id/167

About Mitchell
Mitchell empowers clients to achieve measurably better outcomes.  Providing unparalleled breadth of technology, connectivity and information solutions to the Property & Casualty claims and Collision Repair industries, Mitchell is uniquely able to simplify and accelerate the claims management and collision repair processes.

As a leading provider of Property & Casualty claims technology solutions, Mitchell processes over 50 million transactions annually for over 300 insurance companies/claims payers and over 30,000 collision repair facilities throughout North America. Founded in 1946, Mitchell is headquartered in San Diego, California, and has 1,700 employees. The company is privately owned primarily by the Aurora Capital Group, a Los Angeles-based investment group. For more information about Mitchell, visit www.mitchell.com.

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