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HomeWelfare and Institutions CodeDiv. 9Pt. 3Ch. 7Art. 1§ 14040 Electronic Claims Submission Rules

§ 14040 Electronic Claims Submission Rules

Welfare and Institutions Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 14040 Electronic Claims Submission Rules

Key Takeaways

  • •Doctors and hospitals can send bills to the government using computers or other electronic ways instead of paper.
  • •They must follow the government's rules for how to send these bills to make sure everything is correct and to stop cheating.
  • •The government will keep a copy of the bills but will give back any tapes or disks used to send them.
  • •The government wants to make billing as easy as possible by putting all needed info in the electronic bill.

Example

A doctor's office sends a bill to Medi-Cal for treating a patient.

Instead of mailing a paper bill, the office can send it electronically, like through a computer. They have to make sure all the info is correct and follows the rules so they get paid and no one cheats the system.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 14040 Electronic Claims Submission Rules

(a) Each contract for fiscal intermediary services shall allow, to the extent practicable, providers to utilize electronic means for transmitting claims to the fiscal intermediary contractor. Means of transmission, and the manner and format used, shall be approved by the director. In determining which electronic means are acceptable, the director shall consider magnetic tape, computer-to-computer via telephone, diskettes, and any other methods which may become available through technological advancements. (b) A provider, as defined in Section 14043.1, may assign signature authority for transmission of claims to the provider’s authorized representative or the registered billing agent of the provider identified to the department pursuant to subdivision (c) of Section 14040.5. (c) The department shall develop reasonable standards for participation and continued participation by providers and billing agents in the use of claims transmission methods utilized pursuant to this section. These standards shall be designed to ensure that providers and billing agents submit technically complete claims and to reduce the potential for fraud and abuse. The department shall notify providers and billing agents of any planned changes to the claims transmission standards prior to the implementation of the changes. A “technically complete claim” means any billing request for payment from a provider or the billing agent of the provider, including an original claim, claim inquiry, or appeal, that is submitted on the correct Medi-Cal claim form or electronic billing format, is fully and accurately completed, and includes all information and documentation required to be submitted on or with the claim pursuant to Medi-Cal billing and documentation requirements. (d) To the extent required by federal and state law, the fiscal intermediary shall retain claim data submitted by providers or the billing agent of the provider pursuant to this section. The department shall, however, return to a provider or the billing agent of the provider original tapes, diskettes, and any other similar devices that are used by the provider or the billing agent of the provider pursuant to this section. (e) In order to reduce the amount of paperwork or attachments which are required to be completed by a provider or the billing agent of the provider submitting a claim for reimbursement under this chapter to the fiscal intermediary, the department shall direct the fiscal intermediary to investigate and develop the means to incorporate as much information as possible on the electronic format. (f) Each provider and billing agent submitting claims shall be responsible for ensuring that each claim submitted for reimbursement for services, goods, supplies, or merchandise rendered or supplied by the provider to a Medi-Cal beneficiary or under the Medi-Cal program meets the standards established by the department pursuant to this section. (Amended by Stats. 2000, Ch. 322, Sec. 13. Effective January 1, 2001.)

Last verified: January 23, 2026

Key Terms

contractclaimfraudappealnetfinedirectorauthority

Related Statutes

  • § 14019.4 Medi-Cal Provider Billing Limits
  • § 14023 Health Coverage Fraud Penalties
  • § 14123.2 Fraudulent Medicaid Claims Prohibition
  • § 1016 Unclaimed Juvenile Inmate Property
  • § 4626.5 Regional Center Conflict Policy

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Welfare and Institutions Code. Section 14040.
View Official Source