It is our interpretation that the HIPAA 835 does not require electronic payment.  The 
implementation guide allows for either a check or EFT which could be separate from the 
835 remittance.  Your trading partner agreement would have to address and establish 
the EFT if that is what you desire.  It may not be as easy as it seems.  TPA's 
administering self-funded business do not have one bank account, because this 
commingling of assets is prohibited by ERISA.  This would include insurers 
administering self-funded accounts.   Each client has a health plan account from which 
funds are drawn and would require an agreement with each client's bank account, not to 
mention every possible provider.  That is not to say it couldn't or won't happen for 
large service providers.     

>>> "Hooper, Sue (Verkleir)" <[EMAIL PROTECTED]> 07/27/01 02:50PM >>>
I would appreciate some clarification regarding electronic remittances
and/or payments using the TS835.  

As a provider of hospital services, we have been working under the
assumption that a payer will not return an electronic remittance or payment
for a paper claim but would instead produce a paper RA and check.  Is this
true or will all EOBs and payments be electronic once we have established
that trading partner relationship with a payer?  

Thank you for your help,

> Sue Hooper
> Systems Design & Development
> (518) 883-8122
> [EMAIL PROTECTED] 
> 
> 

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