Independent Diagnostic Testing Facilities (IDTF)

Payors Sometimes Deny Hospital-Based Outpatient MRI and CT Scans: Options Exist…

As payment methods change and providers search to find lower cost alternatives to meet patient needs, IDTF’s are emerging as a feasible option for staying in the outpatient imaging field. IDTF’s maintain costs by focusing on one service with much less overhead. Experts in IDTF, the IDTF consultants at Advis work multi state yet enact procedures based on state specific rule sets. We are expert in IDTF standards and IDTF billing, including global billing services.


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Learn more about IDTF

  • An Independent Diagnostic Testing Facility (IDTF) is independent from both an attending and consulting physician’s office and from a Hospital.
  • It may be a fixed location or a mobile entity.
  • It requires enrollment under Medicare Part B.
  • It requires one or more supervising physicians.
  • It requires an IDTF Technician.
  • Diagnostic procedures performed at an IDTF are reimbursed pursuant to the physician fee schedule.
  • A valid response to non-governmental payers’ potential non-coverage of hospital-based diagnostics.
  • Expansion of the continuum of care.
  • Response to market competition.
  • Increase market share.
  • Has the ability to integrate with a system’s ambulatory care strategy.
  • Offers governance, ownership, and operational flexibility outside of the hospital’s structure.
  • Share practice location space with another Medicare-enrolled individual or organization;
    • exceptions: hospital based IDTFs and mobile IDTFs
  • Lease or sublease operations or its practice location with another Medicare-enrolled individual or organization;
    • exceptions: hospital based IDTFs and mobile IDTFs
  • Share diagnostic testing equipment with another Medicare-enrolled individual or organization;
  • Offer laboratory services

There are multiple structures and corresponding regulations for an IDTF:

  • Sole Ownership;
  • Hospital Ownership;
  • Joint Venture;
  • Roll-Up of multiple sites;
  • Under Arrangement.

Independent providers (and sometimes even hospitals and health systems) may find that IDTFs are a viable option to serve patient needs while providing outpatient imaging services. Advanced diagnostic imaging (ADI) and freestanding diagnostic services may represent a compelling business model for you. Advis takes a comprehensive approach in helping its clients determine if an IDTF is an option, including:

  • Feasibility/Market Assessment;
  • Financial Impact;
  • Structure;
  • Regulatory Compliance;
  • Licensure;
  • Coding/Billing;
  • Accreditation.

Advis is well-versed in feasibility analysis, as well as, development for IDTFs. If you have further questions don’t hesitate to contact us.