>>ICD9 is used to check whether the CPT is legitimate, but as you know is that ICD9 is not detailed enough so that for a small procedure you're able to charge big bucks. ICD10 will improve that somewhat.

Where ICD10 makes a difference is that the "other and unspecified" codes now will require more specificity and often changes in documentation by physicians. However, even with I9 there are literally millions of national and local coverage determinant rules determining medical necessity and it's well known that the "other and unspecified" I9 codes are favourite targets for audit.

>>Still left with the problem of performing unnecessary procedures and prescribing expensive drugs.

Easy to say these things... but patients are not sacks of wheat and more than one reviewer identifies patient expectation of "no stone left unturned" as a driver for unnecessary care. People also get into bad habits of offering tests in every direction as over-ordering is less likely to get you sued.

>>I'd say that our software is an EMR rather than EHR which is associated with the main hospital system. We are not positioned that way.

In the US they call an EMR an EHR so you can access the funding. ;-)