What is the primary purpose of the Correct Coding Initiative?

The primary purpose of the Correct Coding Initiative is to detect and prevent payment for improperly coded services. This initiative provides a set of rules and guidelines designed to ensure that healthcare providers bill for services in a correct and consistent manner. By preventing incorrect coding practices, such as unnecessary unbundling of services, it helps to protect the integrity of the healthcare payment system. This is crucial in maintaining fair reimbursement practices and minimizing overpayments or fraudulent claims, ultimately ensuring that healthcare resources are used efficiently and effectively.

The focus on preventing improper payments helps to uphold a standard of care and compliance that is essential for the operation of programs like Medicare, safeguarding the funds allocated for patient care while promoting the ethical practice of coding in healthcare environments.