Software Testing Procedures

The Health Insurance Portability and Accountability Act ( HIPAA) requires that all healthcare organizations exchanging HIPAA transaction data electronically with the IHCP establish an Electronic Data Interchange (EDI) relationship.  All entities requesting to exchange data with the IHCP must be tested approved by the IHCP before production transmission begins.

Vendors must review the X12N transaction HIPAA implementation guides and the IHCP Companion Guides to carefully assess the changes needed to both their business and technical operations to meet the requirements of HIPAA.  The national X12N transaction HIPAA implementation guides are available on the Washington Publishing Company site at www.wpc-edi.com.

The IHCP Companion Guides link takes you to the current production versions of the guides, and the IHCP Upcoming Companion Guide Changes contains future system updates to the guides.  For information on future system enhancements view What's New for EDI Vendors.

The following steps describe the testing process for EDI vendors who have not yet been approved by the IHCP.

1. Complete the Trading Partner Profile

The IHCP requires each testing entity exchanging data directly with the IHCP complete and submit the IHCP Trading Partner Profile to initiate the testing process.  The IHCP Trading Partner Profile is the tool the vendor must use to notify the IHCP about the types of transactions they will test and the method of communication that they will use.  Upon IHCP receipt of the profile form, testing information is sent to the vendor.  Follow the instructions received in the testing information to ensure accuracy and completeness of testing.

2. Conduct application development

The vendor must modify their business application systems to comply with the IHCP Companion Guides.  The accuracy of the vendor's system must be tested to ensure all transactions process correctly.  The vendor must determine the modifications and additions that are needed to their technical infrastructure to perform the communication functions.

3. Test each transaction

Connectivity testing performed with the transmissions ensures a successful connection between the sender and receiver of data.

Three levels of data testing are required:

a.  Compliance Testing
b.  IHCP Specification Validation Testing
c.  End-to-End Testing

Compliance Testing

All transactions must pass data integrity, requirements, balancing, and situational compliance testing.  Although third-party HIPAA certification is not required, the above levels of compliance are required and must be tested.  Compliance is accomplished when the transaction is processed without errors and either the response transaction or a 997 Acknowledgement is produced.

The software used by the IHCP for compliance checking and the translation of the HIPAA transaction is Sybase with the HIPAA Accelerator, also known as HIPAA Toolkit.  Sybase Translator Information identifies the Sybase product version, as well as information related to known issues, corrections and common compliance errors detected by this product.

IHCP Specification Validation Testing

Specification validation testing ensures conformity to the IHCP Companion Guides.  This testing ensures that the segments or records that differ based on certain healthcare services, are properly created and produced in the transaction data formats.  Validation testing is unique to specific relationships between entities and includes testing of field lengths, output, security, load/capacity/volume, and external code sets.

End-to-End Testing

End-to-end testing ensures a successful round-trip completion of the transmission.  It originates from the sender as an inbound transaction, proceeds through system processing and ends with a successful outbound transaction back to the sender.  For example, for vendors set up to test both the 837 and 835 transactions, this level tests processing the inbound 837-Claims and Encounters transactions and follows through to create an outbound 835-Remittance Advice transaction.

4. Become an IHCP-approved software vendor

The testing and approval process differs slightly for software developers, billing services, clearinghouses, and VANs.  The processes are described in the following subsections.

Software Developers

Entities whose clients will be submitting directly to the IHCP are not required to become IHCP trading partners.  Upon completion of testing and approval, the IHCP sends written notification of approval to the software developer.  Upon receipt of this approval, the software developer should submit a list of their IHCP clients and inform their clients that their software has been approved.  However, providers are required to complete the procedures outlined in Trading Partner Registration Procedure to get production submission information.

Billing Services, Clearinghouses, VANs, and Managed Care Entities

Upon completion of testing and approval, a written production approval notification is sent to the vendor.  These entities are required to submit a list of IHCP providers for internal system set up of any outbound transactions.

Billing services, clearinghouses, VANs, and managed care entities must submit a signed IHCP Trading Partner Agreement.  The trading partner agreement is a contract between parties who have chosen to become electronic business partners.  This document stipulates the general terms and conditions under which the partners agree to exchange information electronically.  The signed trading partner agreement must be mailed to the following address:

HP Enterprise Services
Trading Partner Agreement
950 North Meridian Street
10th Floor
Indianapolis, IN 46204