Rowan Health Systems Science (HSS) 1 Practice Test

In health care billing, the process starts by clearly identifying the patient's condition with a diagnosis coded in ICD-10. That diagnosis sets the reason for care and justifies which services are appropriate to bill for. Once the diagnosis is established, the next step is to document the actual service provided, coded as a Reimbursable Base Unit (RBU), which quantifies the care delivered. The service data, together with the chosen payment model (the method used to pay for that service, such as per-unit or bundled/episode-based payment), determines the amount that can be reimbursed. Finally, the insurer reviews the diagnosis, the services billed, and the payment model to adjudicate the claim and issue reimbursement. Starting with the service before the diagnosis would lack justification, and beginning with the payment model or with insurance reimbursement ignores how reimbursement is driven by the diagnosed condition and the services rendered.