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Calculate the average revenue for CPT 99215 the provider will receive based on the payment rates in Table 5.1 and the payer mix in Table

Calculate the average revenue for CPT 99215 the provider will receive based on the payment rates in Table 5.1

and the payer mix in Table 5.2. If the average cost to provide the patient visit is $64.00, will the provider need nonoperating revenues to cover its costs?

TABLE 5.1 Payment Rates for Physician Office Visits

CPT Visit Codes
Payer 99211 99215
Charge/self pay 60.00 100.00
Medicare 39.50 54.90
Medicaid 29.90 35.40
Blue Cross 48.00 80.00
Managed Care-Giant 55.00 85.00
Managed Care-Sigma 42.00 70.00
Managed Care-Unity 52.00 65.00
Charity/No Pay 0 0

table 5.2 Calculating Average Reimbursement

Payer CPT 99211 Payer Mix Average Reimbursement
Charge/self pay 60.00 8% 4.80
Medicare 39.50 45% 17.78
Medicaid 29.90 5% 1.50
Blue Cross 48.00 15% 7.20
Managed Care-Giant 55.00 10% 5.50
Managed Care-Sigma 42.00 8% 3.36
Managed Care-Unity 52.00 7% 3.64
Charity/No Pay 0 2% 0
Average Reimbursement 40.80 100% 43.77

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