New PAAS Tool! Flowchart for Multi-Payor Claims with Conflicting Coverage

In last month’s Newsline article, “A” for Abandoned: The Short Life of DAW Code A and What it Means for Multi-Payor Claims, PAAS National® provided insight into the revised billing process for multi-payor claims where one payor prefers the brand and the other payor prefers generic. Due to the complexity of this billing process, a new PAAS tool has been developed, Conflicting Coverage: When One Payer Covers Brand and the Other Prefers Generic.

This new tool will provide staff with a billing flowchart to follow when the primary payor prefers brand and a second chart to follow when the secondary prefers brand. These flowcharts can serve as a quick reference guide that can be printed out and posted at the data entry station for easy reference. At the end of this new tool, there is a table with a more in-depth explanation of this multi-payor billing process.

While the majority of the pharmacy’s claims are likely to process through just one payor, it is not uncommon to have a patient with a secondary payor (e.g., Medicaid). While Medicaid as a secondary payor is not the only scenario where this tool will be helpful, it is likely the most common. Primary payors often have different formulary preferences for multi-source brand products than Medicaid due to various manufacturer rebates. PAAS analysts frequently receive questions about the proper way to bill these claims and which DAW code is appropriate to use. While an analyst is always happy to guide you through these scenarios, this tool can be at your fingertips and can also guide you through the process of how to correctly bill these claims.

Find this tool, and other amazing PAAS tools and aids, on the Member Portal. Here you can find Proactive Tips, Days’ Supply Charts, and even On-Demand Webinars! If you are not able to find something you’re looking for, just reach out to a PAAS representative for additional guidance.

Sara Hathaway, PharmD