So does the insurance not pay if you "diagnose" someone as malingering?
Do they not understand that it takes skill and time to come to this conclusion? If this is the case, the system is even more broken than I realized before.
In general, that's true. Insurance companies and Medicare/Medicaid are basically set up to pay for treatment of an illness/injury. If no illness is present, they are unlikely to pay. This isn't completely ridiculous, since it would be foolish for them to pay for treatment of someone who has no pathology. However, there is no system in place to pay for the exam/tests designed to determine that - except in the emergency arena. It is understood that patients come into an emergency setting with complaints - not diagnosed illnesses.
However, it can be hard to get the 9th-grade educated insurance claims clerk to understand this, so claims for a workup on a patient that turns out to have no serious illness/injury often get denied on the first try.
Years and years ago, when I had a sudden onset of dizziness for no apparent reason, I called my PCP and he told me to have someone drive me to the Emerg Dept. At the ED, they examined me and found an acute otitis, Rx'd medication, and recommended that I reschedule my first skydive to another week. (really, I was enough of a goof to argue that it would be fine since I can't mistakenly go any direction but down.) The insur company denied the claim for the ED exam and tx since otitis is not an emergency condition. It took about 6 months of phone calls, letters, getting the ED notes sent to the insur company, getting the MD to interpret his illegible handwriting to the insur co. (PLEASE write legibly on charts!), etc. to get the claim paid. I spent 50% as much in long-distance calls and stamps/envelopes as I would have paid for the entire bill.
In psychiatry, if the pt complains of SI or HI, or there has been an incident of suicidality or violence in the past 24 hrs, the payor will usually pay to get the pt admitted (pay for the ED care and 1 day of inpt care), but then each subsequent day has to have documentation of exactly why the pt could not be safely discharged - no matter what the original complaint or the current diagnosis; no matter how manic or depressed or psychotic. You need specific data to prove the patient would hurt self/others or be completely unable to care for self. You need specifics like...
"Still states he intends to kill himself" or
"Continues to fantasize cutting his own throat" or
"Still states his family would be better off if he was dead" or
"Cont's to cut L arm w/ pencil b/c he believes it is not his own" or
"Still plans to kill his elderly female neighbor because he believes she is from another planet" or
"Will not eat unless prevented from returning to her room until she has eaten 30% of her meal and 8 oz fluid, and even then needs several prompts over 30 minutes" or
"Noted attempting to eat non-food objects 3 times in last 24 hrs" or...
you get the idea.