Administration

Policies, procedures, and management of functions related to the operation of an insurance plan by the insurance company after it becomes effective. In some situations, the insurance claims processing and payment may be administered by a separate entity.

Administrative code sets

1. Code sets that characterize a general business situation, rather than a medical condition or service. 2. Under the Health Insurance Portability and Accountability Act (HIPAA), a phrase that refers to nonclinical or nonmedical code sets. Compare with medical code sets.

Administrative data

Information that is collected, processed, and stored in automated information systems. Administrative data include enrollment or eligibility information, claims information, and managed care encounters. The claims and encounters may be for hospital and other facility services, professional services, prescription drug services, laboratory services, and so on.

Administrative expenses

Operating costs incurred by the Department of Health and Human Services (HHS) and the Department of the Treasury in administering the supplemental medical insurance (SMI) program and the provisions of the Internal Revenue Code relating to the collection of contributions. Such administrative expenses, which are paid from the SMI trust fund, include expenditures for contractors to determine costs of, and make payments to, providers, as well as salaries and expenses of Centers for Medicare and Medicaid Services (CMS).