What effect does upcoding have on a patient's insurance billing?

Upcoding is a fraudulent practice that occurs when a healthcare provider intentionally bills for more expensive services than those actually rendered to a patient. This practice inflates the billed amount because it misrepresents the level of care provided. For example, a service that should be billed as a routine office visit may be incorrectly coded as a more complex and higher-priced procedure. As a result, insurance companies are charged more than appropriate, potentially increasing the reimbursement amounts that providers receive. This inflated billing is a significant concern in healthcare, as it can lead to higher costs for insurers, employers, and ultimately patients. The impact of upcoding not only affects the financial landscape of billing but can also carry legal ramifications for those who engage in this practice.