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What is a notice of admission? A Guide for Senior Care

3 min read

For senior patients beginning home health care, there’s a vital administrative step involving the Centers for Medicare & Medicaid Services (CMS). This step requires a provider to submit a Notice of Admission (NOA), a crucial one-time notification that kickstarts billing for a patient's care. Understanding what is a notice of admission is essential for both home health agencies and the families they serve.

Quick Summary

A Notice of Admission (NOA) is a mandatory, one-time submission by a home health agency to Medicare to register a patient's start of care and establish a continuous billing cycle for a series of 30-day care periods, which replaced the old Request for Anticipated Payment (RAP) system. This notification is a critical procedural step for ensuring proper reimbursement and coverage for home health services.

Key Points

  • Single Notification: A Notice of Admission (NOA) is a one-time form submitted by a home health agency to Medicare to register a patient's start of home health care.

  • Replaces RAPs: The NOA replaces the old Request for Anticipated Payment (RAP) system, simplifying the billing process for providers.

  • Covers Contiguous Care: Once filed, a single NOA covers all continuous 30-day periods of care until the patient is officially discharged.

  • Strict Deadline: The NOA must be submitted within five calendar days of the start of care to avoid payment penalties for the provider.

  • New NOA for Readmission: If a patient is discharged and later readmitted for home health services, a new NOA is required to restart billing.

  • Requires Physician's Order: To submit an NOA, a home health agency must have a physician's order for services and have completed the initial visit.

In This Article

The Core Function of the Notice of Admission (NOA)

The Notice of Admission (NOA), implemented in 2022, is a key part of the Medicare home health payment system. It serves as the official communication from a Home Health Agency (HHA) to the Medicare Administrative Contractor (MAC), indicating a patient's admission for care and that the HHA is the designated provider. This single notification replaced the need for multiple Requests for Anticipated Payment (RAPs) per 30-day episode, simplifying administration. The NOA registers the patient in the Common Working File (CWF) and remains active until the patient is discharged.

Key Purpose of the Notice of Admission

  • Establishes Care: The NOA formally registers the patient's home health care with Medicare.
  • Replaces RAPs: It eliminates the need for recurring RAP submissions.
  • Initiates Billing: The NOA starts the first of potentially several 30-day billing periods.
  • Ensures Reimbursement: Timely submission is crucial for full Medicare payment, as late filings incur penalties.

Requirements for a Valid NOA Submission

For a home health agency to submit a valid Notice of Admission, two main conditions must be met to avoid financial penalties.

Conditions for Submission

  1. Physician's Order: A valid written or verbal physician's order for the initial visit services is required.
  2. Initial Visit Completed: The first patient visit must be completed, confirming care has begun.

The Critical 5-Day Deadline

The NOA must be submitted within five calendar days of the patient's start of care. Late submissions result in a payment reduction of 1/30th of the 30-day period payment for each late day. This penalty is the agency's responsibility.

The NOA's Role in Ongoing Care and Discharge

The initial NOA is foundational for the entire episode of care.

Subsequent Periods of Care

  • No Additional NOAs: A single NOA covers all continuous 30-day periods with the same agency.
  • Discharge and Readmission: The NOA becomes invalid upon discharge. A new NOA is needed if the patient requires home health services again.

The Importance of Patient Discharge

Properly discharging a patient is vital. Submitting a discharge notice ends the active NOA and allows for final claims. This prevents issues if the patient seeks care elsewhere or is readmitted.

Notice of Admission vs. Other Healthcare Notifications

Understanding the different types of notices is important.

Feature Notice of Admission (NOA) Notice of Eligibility/Action Admission Agreement Patient Rights Notification
Purpose Informs Medicare of a patient's start of home health care for billing. Informs a beneficiary of their eligibility for a program. Contract between a facility and a resident outlining terms. Informs a patient of their legal rights upon admission.
Who Submits Home Health Agency (HHA) to a Medicare Administrative Contractor (MAC). State or local government agency to the beneficiary. Senior care facility to the resident. Facility to the resident/patient.
Recipients Medicare, via MAC. Beneficiary/Patient. Resident/Patient. Resident/Patient and sometimes family/representative.
Timeline Within 5 calendar days of the start of home health care. Varies by program. At the time of or as a condition of admission. Upon admission to the healthcare facility.

Exceptions to Timely Filing

CMS allows for exceptions to the five-day deadline under specific circumstances to avoid payment penalties. These include:

  • Major disasters disrupting operations.
  • Data filing problems with CMS or the MAC.
  • Newly certified HHAs awaiting necessary information.
  • Other circumstances beyond the provider's control.

The Shift from RAP to NOA: A Historical Context

The NOA replaced the Request for Anticipated Payment (RAP) system used before January 1, 2022. RAPs were required for each 30-day episode, creating a repetitive administrative process. The NOA streamlined this by requiring only one submission per episode under the Patient-Driven Groupings Model (PDGM). This change also removed the need for diagnosis and HIPPS codes with the initial notification. For more details on CMS regulations, refer to the official CMS Manual System.

Conclusion

Understanding what is a notice of admission is crucial for those involved in senior home health care. It is a vital procedural step that confirms a patient’s start of care and initiates Medicare billing. Timely and accurate NOA submissions are essential for agencies to receive proper reimbursement and for patients and families to ensure their care is correctly registered.

Frequently Asked Questions

If an NOA is submitted late, the home health agency will receive a daily payment reduction equal to 1/30th of the total reimbursement for every day the notice is late. This penalty is the provider's responsibility and cannot be passed on to the patient.

No, only one NOA is required for a series of home health periods of care, as long as the care is continuous with the same agency. A new NOA is only needed if the patient is officially discharged and then readmitted later.

A home health agency only needs a written or verbal physician's order identifying the services for the initial visit and confirmation that the initial visit has been completed. Unlike the old RAP system, valid diagnosis and HIPPS codes are not required for the NOA itself.

Yes, even if Medicare is not the primary insurer, submitting an NOA is recommended. This ensures an NOA is on file with Medicare, which is crucial if the payer situation changes later on.

Yes, an agency can request an exception for a late NOA under specific, extenuating circumstances defined by CMS. These include natural disasters or system issues outside of the agency's control.

The key difference is that the Notice of Admission (NOA) is a one-time notification at the start of care, while the old Request for Anticipated Payment (RAP) had to be submitted for every 30-day episode of care.

While a patient is entitled to have family or a representative notified upon admission to a facility, the NOA is an administrative document filed with Medicare. The family would typically receive a separate admission agreement or rights notice from the provider.

References

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Medical Disclaimer

This content is for informational purposes only and should not replace professional medical advice. Always consult a qualified healthcare provider regarding personal health decisions.