American Academy of Professional Coders (AAPC) Practice Exam

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What must happen before the patient signs the ABN?

  1. Provider must bill Medicare for services

  2. ABN must be verbally reviewed and questions answered

  3. Patient must present a payment method

  4. Procedure must be completed

The correct answer is: ABN must be verbally reviewed and questions answered

Before a patient signs the Advance Beneficiary Notice of Noncoverage (ABN), it is essential that the ABN is verbally reviewed with the patient and any questions they have are answered. This process ensures that the patient fully understands the purpose of the ABN, which informs them that Medicare may not pay for the specific service or procedure being proposed. This conversation is critical in ensuring that patients can make informed choices about their healthcare and financial responsibility. Additionally, the process allows for clarification on how the ABN relates to their coverage and the potential for out-of-pocket costs, ensuring that patients are aware of their rights and options before consenting to services that may not be covered. This step promotes transparency and aids in the patient’s decision-making process regarding their care. In contrast, the other options do not accurately represent necessary steps before signing the ABN. For instance, it is not a requirement for the provider to bill Medicare first or for the procedure to be completed prior to signing. Presenting a payment method is also not a prerequisite; focusing on reviewing the ABN with the patient is paramount for informed consent.