Medical Billing Terms S: Secondary Insurance, Single Case Agreement and SBIRT
Secondary insurance is the plan that may pay after the primary plan has processed a claim. This page defines it with the terms from SAM exclusions to single case agreement, including self-pay, signature on file, SBIRT and the 1915 waivers. MCM South Medical Billing Service, LLC works only in mental and behavioral health billing.

On this page (20 terms)
- SAM Exclusions
- SAMHSA
- SBIRT
- Scope of Practice
- Screening
- Secondary Insurance
- Section 1557 (Nondiscrimination in Health Programs)
- Section 1915(b) Waiver
- Section 1915(c) Waiver
- Section 1915(i) State Plan HCBS
- Security Risk Analysis
- Self-Funded Plan
- Self-Pay
- Sentinel Event
- Serious Mental Illness (SMI)
- Shared Savings
- Signature on File (SOF)
- Significant, Separately Identifiable E/M
- SimplePractice
- Single Case Agreement (SCA)
How to use these Secondary Insurance definitions
Use this page as a quick reference for Secondary Insurance, from SAM Exclusions to Single Case Agreement (SCA). Each entry gives a plain definition, why it matters to a mental health practice, and an official source. When a rule changes by payer or state, the entry says so, so confirm Secondary Insurance details with the payer before you bill.
Checklist: put the secondary insurance definitions to work
- SAM Exclusions: Often checked alongside the OIG list.
- SAMHSA: Source for behavioral health program standards and guidance.
- SBIRT: Has specific codes in Medicare and some Medicaid programs.
- Scope of Practice: Payers may deny services outside a clinician's scope.
SAM Exclusions
Also called System for Award Management exclusions; SAM.gov debarment
- Definition
- A federal database of parties barred from federal contracts and some federal programs.
- Why it matters
- Often checked alongside the OIG list.
- Illustrative example
- A practice checks SAM when hiring.
Related termsLEIE (List of Excluded Individuals/Entities)Compliance ProgramGuide: Fraud and abuse laws
Reference sourceHHS (U.S. Department of Health and Human Services)checked 10/9/26
CategoriesAudits & Compliance
SAMHSA
Also called Substance Abuse and Mental Health Services Administration
- Definition
- An HHS agency that leads federal efforts on behavioral health, including grants, standards, and confidentiality rules for substance use records.
- Why it matters
- Source for behavioral health program standards and guidance.
- Illustrative example
- A program follows SAMHSA guidance on Part 2.
Related terms42 CFR Part 2Certified Community Behavioral Health Clinic (CCBHC)
Reference sourceSAMHSAchecked 10/9/26
CategoriesMedicare & Medicaid TermsBehavioral Health Specific Terms
SBIRT
Also called Screening, Brief Intervention, and Referral to Treatment
- Definition
- A public health approach to identify people with risky substance use, provide a brief intervention, and refer to treatment when needed.
- Why it matters
- Has specific codes in Medicare and some Medicaid programs.
- Illustrative example
- A clinic bills SBIRT using payer-recognized codes.
Related termsScreeningSubstance Use Disorder TreatmentGuide: Substance use disorder billing
Reference sourceSAMHSACMS (Centers for Medicare & Medicaid Services)checked 10/9/26
CategoriesBehavioral Health Specific Terms
Scope of Practice
Also called practice authority; independent practice authority
- Definition
- The services a licensed professional is legally allowed to provide, defined by state law and board rules.
- Why it matters
- Payers may deny services outside a clinician's scope.
- Illustrative example
- A state limits which diagnoses a counselor may make.
Related termsState LicensePsychiatric Nurse Practitioner (PMHNP)
Reference sourceHHS (U.S. Department of Health and Human Services)checked 10/9/26
CategoriesCredentialing & EnrollmentBehavioral Health Specific Terms
Screening
Also called behavioral health screening; SBIRT
- Definition
- A brief standardized check to identify possible conditions, such as depression or substance use, which may be billed with specific codes where covered.
- Why it matters
- Coverage and codes differ by payer and program.
- Illustrative example
- A primary care office screens for alcohol use with a standard tool.
Related termsBrief Emotional or Behavioral Assessment (96127)SBIRTGuide: Substance use disorder billing
Reference sourceSAMHSACMS (Centers for Medicare & Medicaid Services)checked 10/9/26
CategoriesBehavioral Health Specific Terms
Secondary Insurance
Also called secondary payer; secondary coverage
- Definition
- The plan that pays after the primary, typically covering some of what the primary left as patient responsibility, subject to its rules.
- Why it matters
- Missed secondary billing leaves money uncollected.
- Illustrative example
- After the primary pays, the practice sends the claim and primary ERA to the secondary.
Related termsPrimary InsuranceCoordination of Benefits (COB)Crossover ClaimTertiary InsuranceGuide: Secondary claims
Reference sourceCMS (Centers for Medicare & Medicaid Services)checked 10/9/26
CategoriesEligibility & BenefitsClaims Processing
Section 1557 (Nondiscrimination in Health Programs)
Also called Section 1557; ACA nondiscrimination; language access rule
- Definition
- Section 1557 of the Affordable Care Act is a federal nondiscrimination provision that applies to certain health programs and activities that receive federal financial assistance. HHS Office for Civil Rights enforces it.
- Why it matters
- It can require language assistance and notices. Practices that take Medicaid or Medicare may be covered, so ask counsel what applies.
- Illustrative example
- A practice that accepts Medicaid reviews its notices and its process for language assistance.
Related termsLimited English Proficiency (LEP)OCR (Office for Civil Rights)MedicaidCompliance Program
Reference sourceHHS (U.S. Department of Health and Human Services)HHS Office for Civil Rights (OCR)checked 10/9/26
CategoriesAudits & Compliance
Section 1915(b) Waiver
Also called 1915(b); managed care waiver
- Definition
- A Section 1915(b) waiver is a Medicaid waiver that lets a state require enrollment in managed care or limit choice of providers.
- Why it matters
- Some states run behavioral health through a 1915(b) waiver, which can create a separate behavioral health carve-out network. Check how your state does it.
- Illustrative example
- A state moves its behavioral health benefit to a separate managed care entity under a 1915(b) waiver.
Related termsBehavioral Health Carve-OutMedicaid Carve-OutManaged Behavioral Health Organization (MBHO)Medicaid Managed Care Organization (MCO)Guide: Medicaid managed care
Reference sourceMedicaid.govCMS (Centers for Medicare & Medicaid Services)checked 10/9/26
CategoriesMedicare & Medicaid Terms
Section 1915(c) Waiver
Also called 1915(c); HCBS waiver; home and community-based services waiver
- Definition
- A Section 1915(c) waiver is a Medicaid waiver that lets a state offer home and community-based services to people who would otherwise need institutional care.
- Why it matters
- Some behavioral health services, such as supports for people with serious mental illness or developmental needs, are offered through waivers. Eligibility and services vary by state and by waiver.
- Illustrative example
- A state offers community-based supports through a 1915(c) waiver, and a provider enrolls under that waiver.
Related termsHome and Community-Based Services (HCBS)1115 WaiverSection 1915(i) State Plan HCBSMedicaidGuide: Medicaid managed care
Reference sourceMedicaid.govCMS (Centers for Medicare & Medicaid Services)checked 10/9/26
CategoriesMedicare & Medicaid Terms
Section 1915(i) State Plan HCBS
Also called 1915(i); state plan home and community-based services
- Definition
- A Section 1915(i) benefit lets a state offer home and community-based services through its Medicaid state plan instead of through a waiver.
- Why it matters
- Some states use it for behavioral health supports. Requirements and the services offered differ by state.
- Illustrative example
- A state offers mental health rehabilitation supports under a 1915(i) state plan option.
Related termsHome and Community-Based Services (HCBS)Section 1915(c) WaiverMedicaid State PlanMedicaidGuide: Medicaid managed care
Reference sourceMedicaid.govCMS (Centers for Medicare & Medicaid Services)checked 10/9/26
CategoriesMedicare & Medicaid Terms
Security Risk Analysis
Also called HIPAA risk analysis; SRA; security risk assessment
- Definition
- A security risk analysis is the assessment a covered entity or business associate must do under the HIPAA Security Rule to find risks to the confidentiality, integrity, and availability of electronic protected health information.
- Why it matters
- It is one of the first things regulators ask for after a breach. Do it, document it, and update it when systems change.
- Illustrative example
- A practice reviews its EHR, devices, and telehealth tools each year and records its findings.
Related termsHIPAA Security RuleEncryptionMulti-Factor Authentication (MFA)Breach Notification RuleGuide: HIPAA for billing
Reference sourceHHS (U.S. Department of Health and Human Services)HHS Office for Civil Rights (OCR)checked 10/9/26
CategoriesAudits & ComplianceEHR & Healthcare Technology Terms
Self-Funded Plan
Also called self-insured plan; ASO plan; ERISA self-funded
- Definition
- A plan in which the employer pays claims itself and often hires a payer or TPA to administer it. These plans are typically governed by federal ERISA rules and are not subject to most state insurance mandates.
- Why it matters
- State mandates and state appeals may not apply, and parity and appeal rights follow federal rules.
- Illustrative example
- A large employer's plan is administered by a national payer under an administrative services contract.
Related termsFully Insured PlanThird-Party Administrator (TPA)ERISAAdministrative Services Only (ASO)
Reference sourceU.S. Department of Labor, EBSAchecked 10/9/26
CategoriesEligibility & BenefitsBCBS, UHC & Commercial Payer Terms
Self-Pay
Also called private pay; cash pay; out-of-pocket pay
- Definition
- A patient who pays for services directly rather than through insurance.
- Why it matters
- Requires fee policies and, for many, a good faith estimate.
- Illustrative example
- A client chooses to pay $150 per session without using insurance.
Related termsGood Faith Estimate (GFE)Sliding ScaleSuperbill
Reference sourceCMS (Centers for Medicare & Medicaid Services)checked 10/9/26
CategoriesPatient Financial Responsibility Terms
Sentinel Event
Also called Joint Commission sentinel event; serious safety event
- Definition
- A sentinel event, as the Joint Commission defines it, is a patient safety event that reaches a patient and results in death, permanent harm, or severe temporary harm. Suicide of a patient in some settings is one type.
- Why it matters
- Accredited organizations are expected to review such events and take action. It is a safety and quality term, not a billing term.
- Illustrative example
- An accredited clinic reviews a serious event and creates a corrective action plan.
Related termsThe Joint CommissionRoot Cause AnalysisNPSG.15.01.01 Suicide Risk ReductionCompliance Program
Reference sourceThe Joint Commissionchecked 10/9/26
CategoriesQuality & Risk Adjustment TermsAudits & Compliance
Serious Mental Illness (SMI)
Also called SMI; serious mental illness definition; serious emotional disturbance
- Definition
- Serious mental illness is a term SAMHSA uses for a mental, behavioral, or emotional disorder in an adult that causes serious functional impairment and substantially limits major life activities.
- Why it matters
- Programs, Medicaid benefits, and some state laws use the term or a similar one. Definitions differ, so check the payer or statute.
- Illustrative example
- A community clinic checks a patient's diagnosis and functioning against the state's definition to see if a program applies.
Related termsCertified Community Behavioral Health Clinic (CCBHC)Medical NecessityLevel of CareSAMHSA
Reference sourceSAMHSAchecked 10/9/26
CategoriesBehavioral Health Specific Terms
Shared Savings
Also called shared savings program; gainsharing
- Definition
- A payment approach where providers share in savings achieved against a cost target, if quality standards are met.
- Why it matters
- Tied to quality performance.
- Illustrative example
- A provider group receives a portion of savings.
Related termsAccountable Care Organization (ACO)Value-Based Care
Reference sourceCMS (Centers for Medicare & Medicaid Services)checked 10/9/26
CategoriesValue-Based Care Terminology
Signature on File (SOF)
Also called SOF; signature on file; SOF box 12 13
- Definition
- Signature on File, or SOF, is the notation a practice enters in Box 12 or Box 13 of the 1500 claim form to show it holds the patient's signed release of information or assignment of benefits.
- Why it matters
- The signed forms must actually be in the record. If a payer audits, it can ask for them.
- Illustrative example
- A practice enters SOF in Boxes 12 and 13 because the patient signed both authorizations at intake.
Related termsBox 12 (Patient or Authorized Person's Signature)Box 13 (Insured's or Authorized Person's Signature)Assignment of Benefits (AOB)Documentation
Reference sourceNUCC, 1500 Claim Form Reference Instruction Manual, Version 13.0 (7/25)checked 10/9/26
CategoriesClaims ProcessingAudits & Compliance
Significant, Separately Identifiable E/M
Also called significant separately identifiable; E/M with psychotherapy; separately identifiable service
- Definition
- A significant, separately identifiable E/M is an evaluation and management service that goes beyond the usual work of another service billed on the same date and is documented on its own.
- Why it matters
- Psychotherapy add-on codes need an E/M that is significant and separately identifiable, and the same applies to modifier 25 on some procedures. The note should show the E/M work and the psychotherapy work apart.
- Illustrative example
- A psychiatrist documents a medication review and a separate 30-minute psychotherapy portion and bills both.
Related termsModifier 25CPT 90833Psychotherapy Add-On CodeDocumentation
Reference sourceAmerican Medical Association (AMA)CMS Coverage Database, Article A57480 (WPS)checked 10/9/26
SimplePractice
Also called Simple Practice
- Definition
- A vendor of practice management, EHR, telehealth, and billing software for health and wellness practices. Affiliate disclosure: MCM South has an affiliate relationship with SimplePractice and may receive compensation if you sign up through this link.
- Why it matters
- Widely used by solo and group therapy practices.
- Illustrative example
- A therapist schedules, documents, and bills from one platform.
Related termsEHR (Electronic Health Record)Practice Management System (PMS)Clearinghouse
Reference sourceSimplePractice (affiliate link)checked 10/9/26
CategoriesEHR & Healthcare Technology Terms
Single Case Agreement (SCA)
Also called SCA; letter of agreement; LOA; single case rate
- Definition
- A one-time agreement between a payer and an out-of-network provider to cover a specific member's care at an agreed rate.
- Why it matters
- It can let a member see a needed provider at in-network cost sharing when no adequate in-network option exists.
- Illustrative example
- A payer approves an SCA for 12 sessions at a negotiated rate.
Related termsGap ExceptionOut-of-Network (OON)Network AdequacyContinuity of Care
Reference sourceCMS (Centers for Medicare & Medicaid Services)checked 10/9/26
CategoriesContracting & Network ManagementEligibility & Benefits
No term on this page matches. Try another word, or use the glossary pages bar above.
Quick answer: Secondary Insurance
What is secondary insurance in billing?
Secondary Insurance is the plan that pays after the primary, typically covering some of what the primary left as patient responsibility, subject to its rules. Missed secondary billing leaves money uncollected.
Frequently asked questions: Secondary Insurance
What is a single case agreement?
Single Case Agreement (SCA) is a one-time agreement between a payer and an out-of-network provider to cover a specific member's care at an agreed rate. It can let a member see a needed provider at in-network cost sharing when no adequate in-network option exists.
What does self-pay mean?
Self-Pay is a patient who pays for services directly rather than through insurance. Requires fee policies and, for many, a good faith estimate.
What is signature on file?
Signature on File, or SOF, is the notation a practice enters in Box 12 or Box 13 of the 1500 claim form to show it holds the patient's signed release of information or assignment of benefits. The signed forms must actually be in the record.
Related resources
Where MCM South works
MCM South serves psychotherapists and psychiatrists in ten states: Georgia, Massachusetts, Connecticut, Texas, Florida, New York, Colorado, Tennessee, North Carolina and Illinois.
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