Nachimson Advisors said that two-thirds of practices will likely fall into the high range of new cost estimates because they are expected to incur major costs for software upgrades to accommodate ICD-10. The study blamed the ballooning 2014 estimates in part on post-implementation costs, including testing and the potential risk of payment disruption. The Centers for Medicare & Medicaid Services has estimated that claims denial rates could increase 100% –200% in the early stages of coding with ICD-10.
In her letter to Sebelius, Hoven reminded the secretary that while the AMA is working however grudgingly toward the implementation, the association's House of Delegates has called for "repealing ICD-10 for the simple reason that it is not expected to improve the care physicians provide their patients and, in fact, could disrupt efforts to transition to new delivery models."
"The transition to ICD-10 represents one of the largest technical, operational, and business implementation in the healthcare industry in the past several decades. Implementing ICD-10 requires physicians and their office staff to contend with 68,000 diagnosis codes—a five-fold increase from the approximately 13,000 diagnosis codes in use today. The broad use of ICD-10 codes for determining reimbursement, coding in all healthcare settings, and healthcare coverage has not been done in other countries, making the U.S. implementation unprecedented," Hoven wrote.