Do You Code Acute or Chronic First?

The process of medical coding, specifically using the International Classification of Diseases, Tenth Revision, Clinical Modification (ICD-10-CM), serves as the standardized language for tracking health encounters. This system translates diagnoses and procedures into alphanumeric codes used for measuring healthcare quality, tracking public health statistics, and processing billing claims. The order in which these codes are listed, known as sequencing, communicates the patient’s severity and the resources required for their care. Correct sequencing is necessary to reflect the patient’s condition and the primary reason for their medical encounter. The determination of whether an acute or chronic condition is listed first depends on the specific relationship between the two conditions.

The Role of the Principal Diagnosis

The most important factor governing the order of codes is the Principal Diagnosis, which is the condition established after study to be the main reason for the patient’s admission to the hospital or their specific encounter with a healthcare provider. This diagnosis is always sequenced first, taking the primary position in the patient’s record. The Principal Diagnosis is not necessarily the patient’s most severe or long-standing illness, but rather the one that occasions the current episode of care.

For instance, a patient with chronic diabetes who comes to the emergency department because of acute appendicitis will have appendicitis listed first. The acute appendicitis is the reason for the hospital admission and treatment, even though the diabetes may require ongoing management. If the patient were admitted for an infection directly related to their diabetes, the diabetes-related complication would likely become the Principal Diagnosis. The reason for the encounter dictates the first code, regardless of the condition’s acute or chronic nature.

Sequencing Conditions Specified as Acute on Chronic

A different rule applies when a single disease state is documented as both acute and chronic, often described as an “acute exacerbation.” These conditions represent a sudden worsening of a pre-existing, long-term illness. Examples include an acute exacerbation of Chronic Obstructive Pulmonary Disease (COPD) or acute on chronic systolic heart failure. The ICD-10-CM coding guidelines address this scenario with a specific sequencing requirement.

When the same condition is described as both acute and chronic, and the code set provides separate entries for each, both codes must be reported. In these paired situations, the code representing the acute condition is sequenced first, immediately followed by the code for the chronic condition. The acute code is placed first because the acute flare-up prompted the need for the current medical intervention and resources. This sequencing is mandated to show the temporary but intense nature of the patient’s current illness.

For example, a patient with chronic cystitis who experiences an acute flare-up would have the acute cystitis code listed before the chronic cystitis code. This order is required even though the underlying chronic condition is the cause of the problem. This guideline ensures that the acute phase, which demands immediate attention and resources, is highlighted as the primary clinical concern. This rule applies only when the classification system explicitly provides two separate codes to describe the acute and chronic components of the same condition.

Sequencing Independent Acute and Chronic Conditions

Sequencing rules change when a patient has separate, unrelated acute and chronic conditions present during the encounter. In these cases, the mandated acute-first rule for acute-on-chronic conditions is set aside. The Principal Diagnosis rule is directly applied to determine the order of the codes.

If a patient is admitted for a new, acute issue, such as a fractured hip, that acute condition is sequenced first. Coexisting chronic conditions, like stable hypertension or controlled arthritis, are listed as secondary diagnoses because they do not meet the definition of the Principal Diagnosis. Conversely, if the purpose of the hospitalization is to manage a complication of a chronic condition, such as diabetic ketoacidosis in a patient with diabetes, the acute complication is coded first as the Principal Diagnosis.

The acute or chronic nature of the independent condition is secondary to the reason for the encounter, which drives the selection of the Principal Diagnosis. The primary focus remains on the condition that required the patient to seek medical care. The remaining conditions are then sequenced afterward based on their relevance to the treatment and management during that specific episode of care.