119 A PPEN D I X C History of Medical Payment Before health insurance was common, patients paid cash or other items or services of value (eg, chickens, plumbing) directly to pediatricians at the time of service. This slowly changed over time until 1965, when President Lyndon B. Johnson signed Medicare and Medicaid into law. Soon after, it became more common for physicians to sign contracts to participate in government health programs and the provider networks of health plans. Getting paid got more complicated. It became necessary for the physician to bill the health plan rather than or prior to billing the patient or caregiver. Health plans only paid for certain services (eg, care for acute or chronic physical illness) and excluded others (eg, preventive services) so, a detailed statement of charges with a reason or diagnosis for each service provided was required. These detailed statements or claims were not standardized and often were handwritten or typed. The lack of standardized terminology and format caused significant delays and errors in claim processing. Diagnosis Coding Coding resulted from the need to classify the causes of mortality and, later, morbidity. In the late 1800s, countries began collaborating to develop standardized nomenclatures and classifications of mortality. Disease classification was added over time (Figure C-1). „ The current World Health Organization (WHO) International Classification of Diseases (ICD) can trace its origins to the International Causes of Death (Bertillon Classification) in 1893. Decennial revisions were introduced in 1900. This process was interrupted by World War II. „ The United States first combined a morbidity and mortality classification system in 1910 with the publication of International Classification of Causes of Sickness and Death. „ The newly formed WHO took over control of ICD with the publication of ICD-6 in 1948. „ The first US modification of ICD was published by the US Public Health Service in 1968. „ Today the International Classification of Diseases, 10th Revision (ICD-10) is used in more than 100 countries, including the United States.
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