Quick tips for billing locum tenens doctors (2024)

A practice may need to take on a locum tenens physician (a physician who does not have a practice of his or her own) for a variety of reasons, ranging from the temporary leave of a colleague to the permanent absence of a physician who has left the group. Employers are increasingly looking at locum tenens staffing as a solution to permanent vacancies, in part because of physician shortages, but also because they see the appeal of trying out potential employees before making a permanent hiring decision.

Here are a few tips that may help practices weather the storm when deciding on how to appropriately bill and submit claims for a locum tenens physician:

Q: We have a doctor who is leaving our practice in a month's time. We need to get a locum tenens for hopefully less than a 60-day period. Can we bill under our previous physician's National Provider Identifier (NPI) number until we get another permanent doctor to join the practice and have the payment come to the practice?

A: If a practice decides to contract a locum tenens physician to provide services for patients of a physician who permanently left the practice, the same rule applies as for a physician who is on maternity leave or vacation. The regular physician bills and receives payment for the substitute physician's services as though he or she performed them. Services should be reported with modifier Q6, and the time period cannot exceed 60 days. Once the 60-day period has passed, the group practice will no longer be able to bill the locum tenens physician's services under the former physician's NPI number.

Q: What should practices do when the locum stays beyond the 60-day period allowed by Medicare?

A: A continuous period of covered visit services begins with the first day on which the substitute physician provides covered visit services to the regular physician's Medicare patients. The period ends with the last day the substitute physician provides services to these patients before the regular physician returns to work. This period continues without interruption on days when no covered visit services are provided to patients on behalf of the regular physician, for up to a maximum of 60 days.

If it is necessary to retain the substitute physician for more than 60 days, contract a new locum tenens, or the current locum tenens physician must enroll with his or her Medicare carrier and bill the days beyond the initial 60 days in his or her own name and with his or her NPI number. The regular physician may, however, bill and receive payment for the services that the substitute physician provides on his or her behalf for 60 days or fewer.

Q: I have a physician who has just come back from six weeks of maternity leave; in her absence we used a locum tenens. She has been back for one week and needs to take another two weeks. The locum that we used in her absence is available; are we allowed to use this locum again?

A: Yes, based on Medicare guidelines. As long as there is a break after the initial 60 days of locum tenens service, you can use the same locum tenens to provide services again. The break doesn't have to be extensive; it can be as brief as the regular physician returning to the office for one day, as long as the date or dates the physician returned to see patients are documented and identifiable by Medicare.

Q: Is a locum tenens physician required to be enrolled in Medicare to provide services to Medicare patients?

A: A locum tenens physician must go through the Medicare credentialing process and be approved as a credentialed Medicare provider prior to seeing Medicare patients. A record of the locum tenens physician's NPI must be on file with the carrier. The locum tenens physician's services must be billed using the modifier Q6 to show that a locum tenens physician provided care, and a record of the services provided to your patients by the locum tenens physician must be kept on file.

Quick tips for billing locum tenens doctors (2024)

FAQs

How do you bill for locum tenens? ›

You must also use modifier Q6 (“services furnished by a locum tenens physician”) in box 24D of the CMS-1500 form for each line item service on the claim to indicate the service was provided by a locum. You can bill for services that were provided by a hospital outpatient- based clinic using the UB-04 type of bill.

What is the locum tenens rule? ›

Locum tenens is the practice for physicians to retain substitute physicians to take over their professional practices when the regular physicians are absent for reasons such as illness, pregnancy, vacation, or continuing medical education, and for the regular physician to bill and receive payment for the substitute ...

What is the Q6 modifier for locum tenens? ›

The Q6 modifier is a procedure code modifier used on medical claims for the billing of services for a locum tenens physician. It is intended to be used when a physician is away for an extended period of time and arranges for a locum tenens or substitute physician to provide services to their patients in their place.

What is the highest paid locum tenens specialty? ›

How much do loc*ms doctors make (on average, by hour) by specialization?
  • Anesthesiology: $292/hour.
  • Cardiology: $272/hour.
  • Emergency medicine: $258/hour.
  • Family medicine: $140/hour.
  • Gastroenterology: $367/hour.
  • Hospitalist: $175/hour.
  • Hospitalist, internal medicine: $180/hour.
  • Internal medicine: $173/hour.

What is the profit margin for locum tenens? ›

It's estimated that the gross margin achieved by hospitals and facilities that bill for locum tenens primary care provider services ranges from 200%-344%. That greatly exceeds the average loc*ms daily rate paid by a healthcare facility.

What is the 26 modifier used for? ›

Modifier 26 is appended to billed codes to indicate that only the professional component of a service/procedure has been provided. It is generally billed by a physician.

What is the locum tenens clause? ›

In a nutshell, the non-compete clause in locum tenens contracts doesn't allow you to work with the hospital through another locum company or directly for a certain period of time. Here, you have to make sure the term is no longer than 2 years after the official end of the agreement.

Is it okay to bill claims under another provider's name and NPI number? ›

Billing under one provider's name and NPI for services that are furnished by another provider may be fraudulent if the identity of the person performing the services would be material to the government's decision to pay the claim.

What is a Q5 modifier? ›

The regular physician identifies the services as substitute physician services by using HCPCS modifier Q5 (services furnished by a substitute physician under a reciprocal billing arrangement)

Do locum tenens need to be credentialed? ›

The answer is yes. State and federal laws require hospitals to have a process in place to screen all applicants and assess their professional abilities. That's why physicians, physician assistants, and nurse practitioners must undergo a thorough credentialing process prior to taking on a locum tenens assignment.

What is the 55 modifier for RVU? ›

The modifier signals that the surgeon intends to relinquish “all or part of the post-operative care” to another provider, per CMS. The physician who provides post-operative care should report the same code(s) as the surgeon, but with modifier 55 appended.

What is the JW modifier in medical billing? ›

DRUG AMOUNT DISCARDED/

What is the most lucrative medical specialty? ›

Neurosurgery

Neurosurgery is the highest-paying medical job in the US. That's hardly surprising, seeing that neurosurgeons are also the most trained medical staff. They study for at least 15 years to gain extensive expertise in the nervous system, spinal cord, and brain.

What is per diem vs locum tenens? ›

Per diem positions typically offer hourly rates, compensated on a per-shift basis. Meanwhile, locum tenens positions typically offer competitive compensation packages, including a fixed salary or hourly rates, and sometimes additional benefits like housing.

How do I invoice a locum? ›

Invoicing
  1. Your name and address (or that of your company if applicable)
  2. Name and address of the practice.
  3. Invoice date and a unique reference number.
  4. A break down of the services you are invoicing for and any expenses you may be reclaiming.

What is the difference between Loc*ms Tenens and per diem? ›

Per diem positions typically offer hourly rates, compensated on a per-shift basis. Meanwhile, locum tenens positions typically offer competitive compensation packages, including a fixed salary or hourly rates, and sometimes additional benefits like housing.

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