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Which CPT Codes are Used in Nursing Facility Billing?

January 4, 2024 / Alex J. Lau / Nursing Facility Billing
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White Female Medical Billing Outsourced

Table of Contents

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  • CPT Codes for Nursing Facility Evaluation and Management (E&M) Services
    • Nursing Facility E&M Codes
  • Ongoing Subsequent Visit E&M CPT Codes
  • Proper Nursing Home E&M Billing and Documentation
  • CPT Codes for Skilled Nursing Facility Rehabilitation Services
    • Physical Therapy CPT Codes
    • Speech Therapy CPT Codes
    • Using PT, OT, Speech Therapy Modifiers
  • CPT Codes for Wound Care Supplies and Procedures
    • Wound Care CPT Codes
    • Wound Care Supply CPT Codes
  • Psychological and Psychiatric CPT Codes for Nursing Homes
    • Psychiatric CPT Codes
    • Psychological CPT Codes
  • Radiology and Diagnostic CPT Codes for Nursing Home Residents
    • Radiology CPT Codes
    • Pathology CPT Codes
  • Medication Administration CPT Codes
    • Injection CPT Codes
    • IV Medication CPT Codes
    • Enteral/Parenteral Nutrition CPT Codes
  • Nursing Facility Billing FAQ
    • What are CPT codes and why do nursing facilities need them?
    • Which CPT codes cover initial nursing facility evaluations?
    • How do subsequent nursing facility visit codes differ from initial visit codes?
    • What factors determine the correct E&M code level in a nursing facility?
    • What other service categories require CPT coding in nursing facilities besides E&M visits?
    • What billing problems arise from poor CPT coding in nursing facilities?
  • Summary: CPT Codes Used in Nursing Facility Billing
      • Interested in Billing, Credentialing, and/or Contracting?

Nursing facilities fulfill a critical role in the post-acute care continuum by providing rehabilitation and custodial care services to patients not yet ready to transition home after hospitalization. The range of skilled nursing services offered enables recovery and stabilization for populations such as post-surgical patients, those with newly diagnosed illnesses requiring education and management, individuals recovering from fall-related injuries requiring physical therapy, and patients with chronic conditions necessitating periodic acute flare intervention.

Healthcare NurseHowever, nursing facilities often struggle to optimize reimbursement through accurate and complete billing capture of the wide variety of skilled services delivered day to day. Proper use of Current Procedural Terminology (CPT) codes provides the mechanism to substantiate delivery of nursing care, therapies, treatments, evaluations, medication administration and more based on medical necessity and payer coverage policies. But pinpointing the appropriate CPT codes can prove challenging given the diversity of patient needs and interventions provided.

Insufficient documentation and coding gaps lead to lost revenue for nursing facilities attempting to receive rightful payment for their skilled services at already slim margins. This makes billing and coding an essential competency for nursing facility administrators seeking to place their organizations on solid financial footing to support advancing quality of care.

We dissect the array of CPT codes applicable in skilled nursing settings based on resident needs, modalities performed, and payer billing guidelines.

We will cover CPT codes nursing facilities should recognize for areas including:

  1. Evaluation and Management Services
  2. Physical, Occupational and Speech Therapy
  3. Wound Care and Complex Medical Supplies
  4. Psychological and Psychiatric Testing
  5. Radiology and Diagnostic Services
  6. Medication Administration

Additionally, examples will demonstrate proper application of codes to reflect services delivered based on robust nursing documentation and billing requirements by major payers. Appropriate use of modifiers is also addressed.

This definitive CPT code resource aims to ensure nursing facilities receive optimal reimbursement capturing the full spectrum of resident services and care provided.

CPT Codes for Nursing Facility Evaluation and Management (E&M) Services

Evaluation and management services encompass visits, assessments, care planning and coordination for nursing home residents.

E&M CPT codes capture levels based on complexity:

Nursing Facility E&M Codes

  • 99304-99306: Initial skilled nursing facility care codes covering comprehensive intake assessments when patients first enter the nursing facility from acute inpatient, outpatient, or community settings requiring skilled services. Usage determines level.
  • 99307-99310: Subsequent skilled nursing facility care codes for follow-up visits and care oversight after the initial comprehensive assessment. Based on visit complexity.
  • 99318: Other nursing facility services requiring medically necessary face-to-face visit on patient’s initial SNF admission day, which are otherwise not captured by initial assessment codes.

Proper code level selection depends on documentation and components including:

  • Number and complexity of diagnosed conditions requiring management
  • Review of patient health history and medical records
  • Physical exam extent
  • Medical decision making complexity in establishing care plan
  • Time spent providing counseling and/or coordination of care

For example, a resident admitted after extensive hospitalization for a fall would likely require 99306 initial SNF care for a highly complex assessment whereas a patient transferred for short-term IV antibiotic treatment may only need basic 99304 initial code.

Ongoing Subsequent Visit E&M CPT Codes

After the comprehensive initial assessment, subsequent skilled nursing facility E&M codes capture necessary follow-up visits and care:

  • 99307: Used for low complexity visits that may not require hands-on exam
  • 99308: Moderate complexity visits including interval history and brief exam
  • 99309: High complexity visits with detailed interval history, comprehensive exam, and possible care plan adjustments
  • 99310: Very high complexity visits reserved for unstable patients requiring intensive services

Subsequent visit code selection should accurately reflect work performed. This includes evaluating symptom progression, modifying care plans, updating medication orders, specialty care coordination, and managing multidimensional patient issues.

Proper Nursing Home E&M Billing and Documentation

Correct application of nursing facility E&M codes requires integration between care provided and coding principles:

  • Initial vs subsequent visit coding determined by elapsed time between assessments
  • Careful review of resident case mix categories, which determine Medicare payment rates and coverage eligibility, to identify billable complexity
  • Complete diagnoses list with impact on management documented
  • Only face-to-face time between provider, patient, and caregivers counts toward selection
  • Medical necessity and skilled need for each encounter clearly justified
  • Detailed resident evaluation, updated progress notes, modified orders, new assessments, and care plan changes recorded to support code levels

With accurate documentation synchronizing clinical services and billing codes, nursing facilities ensure appropriate reimbursement for management, evaluation, and care coordination of residents.

CPT Codes for Skilled Nursing Facility Rehabilitation Services

Rehabilitating patients back to optimal functionality requires physical, occupational and speech therapy.

CPT codes specifically capture these modalities:

Physical Therapy CPT Codes

  • 97161: Physical therapy evaluation low complexity
  • 97162: Physical therapy evaluation moderate complexity
  • 97163: Physical therapy evaluation high complexity
  • 97164: Physical therapy re-evaluation established patient
  • 97165: Occupational therapy evaluation low complexity
  • 97166: Occupational therapy evaluation moderate complexity
  • 97167: Occupational therapy evaluation high complexity
  • 97168: Occupational therapy re-evaluation established patient

Speech Therapy CPT Codes

  • 92521: Speech therapy evaluation
  • 92522: Speech therapy evaluation with modifiers
  • 92523: Speech therapy treatment 15 minutes
  • 92524: Speech therapy treatment each additional 15 minutes

The level of evaluation codes depends on elements like:

  • Number of body parts involved requiring assessment
  • Review of health records and history
  • Functional testing performed
  • Clinical decision making complexity
  • Time spent

Treatment codes are then selected for therapy services based on the hands-on time spent actively engaged in exercises, gait training, manual therapy, modalities like electrical stimulation, and supervision of activities. Billing documentation must capture details supporting code level.

Using PT, OT, Speech Therapy Modifiers

Specific modifiers describe therapy circumstances to convey further context:

  • GP: Services delivered under an outpatient physical therapy plan of care
  • GO: Services delivered under an outpatient occupational therapy plan of care
  • GN: Services delivered under an outpatient speech-language pathology plan of care

Modifiers that may also apply in certain cases:

  • 59: Distinct procedural service when multiple therapies provided in one day
  • AS: Physician assistance for only part of a therapy service
  • AT: Acute treatment with goal to reinstate prior level of function

The modifiers provide supplemental information to illustrate therapy delivery circumstances impacting billing requirements.

CPT Codes for Wound Care Supplies and Procedures

Chronic wounds require extensive nursing facility resources for cleansing, dressing changes, and monitoring to prevent deterioration.

CPT codes capture involved services:

Wound Care CPT Codes

  • 97597: Debridement of wound surface
  • 97598: Removal of devitalized tissue from wound(s)
  • 97602: Wound(s) care including cleaning, local care, and dressing
  • 97605: Negative pressure wound therapy

Wound Care Supply CPT Codes

  • AXXXX: Codes for surgical dressings like hydrogels, foam, impregnated gauze, etc.

Other Considerations:

  • Measure wound characteristics like length, width, depth and drainage amount to determine complexity
  • Quantify surface area debrided and devitalized tissue removed in cm2
  • Capture number of wounds addressed and time spent providing care
  • Note supplies applied and dressing change frequency
  • Ongoing wound evaluation, monitoring, instructions

Robust documentation of wound status, procedures performed, supplies utilized, and clinician time validates appropriate wound care CPT code levels selected.

Psychological and Psychiatric CPT Codes for Nursing Homes

Mental and behavioral health needs of residents require psychiatry and psychology services in skilled nursing settings:

Psychiatric CPT Codes

  • 90832-90838: Psychotherapy and evaluation codes based on time spent treating diagnosed mental health conditions

Psychological CPT Codes

  • 96116: Neurobehavioral status exam by psychologist or physician first 60 minutes
  • 96121: Neuropsychological testing by psychologist first hour
  • 96125: Standardized cognitive performance testing per hour of psychologist time
  • 96127: Brief emotional/behavioral assessment by physician

Using these codes accurately requires detailing:

  • Diagnosed psychiatric illnesses and related symptoms requiring therapy management
  • Start and end times for psychotherapy sessions
  • Specific psychological tests administered and findings
  • Interpretation of cognitive/emotional/behavioral test results
  • Ongoing tracking of behavioral disturbances, mood, thought processes requiring psychologist expertise

By selecting psychiatric and psychological CPT codes aligned with assessments performed, treatment approaches used, time invested, and diagnoses addressed, nursing facilities capture provision of mental and behavioral health services.

Radiology and Diagnostic CPT Codes for Nursing Home Residents

Skilled nursing facilities provide many ancillary services like x-rays, labs tests, and other diagnostic procedures:

Radiology CPT Codes

  • 71010-71035: Chest x-ray codes by number of views
  • 72020-72072: X-ray codes for extremities
  • 72100-72133: X-ray codes for spine and pelvis
  • 73030: X-ray shoulder complete minimal 2 views
  • 73560: X-ray knee 2 or 3 views

Pathology CPT Codes

  • 80048: Basic metabolic panel
  • 80053: Comprehensive metabolic panel
  • 80061: Lipid panel
  • 82947: Glucose blood test
  • 84443: Thyroid stimulating hormone (TSH) test

Remember key principles:

  • Attach radiology procedure report to substantiate exams performed and number of views captured
  • Include lab requisition copies noting tests ordered
  • Document medical necessity and how results inform resident diagnosis/treatment

Linking CPT codes to supporting service documents prevents payer rejection for insufficient evidence. This ensures reimbursement for x-rays, bloodwork, urinalysis and other facility-provided diagnostics.

Medication Administration CPT Codes

The extensive medication regimens required by nursing home residents demand accurate capture of administration services:

Injection CPT Codes

  • 96372: Subcutaneous or intramuscular injection, includes up to 5 medicinal agents

IV Medication CPT Codes

  • 96365: IV infusion for therapy, diagnosis or prevention; initial up to 1 hour
  • 96366: IV infusion each additional hour

Enteral/Parenteral Nutrition CPT Codes

  • 99508: Enteral/parenteral nutrition services, administrative services by physician

Key billing insights:

  • Quantify number of medication agents given when using injection administration code 96372
  • Only capture incremental time beyond first hour for IV infusion code 96366
  • Ensure nutrition formula is documented as medically necessary

With robust notes detailing medication names, dosages, routes and oversight required, nursing facilities receive payment for management of extensive pharmaceutical regimens improving resident health.

Nursing Facility Billing FAQ

What are CPT codes and why do nursing facilities need them?

CPT codes are standardized codes that describe medical, therapy, and diagnostic services so payers can verify what care was given and pay accordingly. Nursing facilities use them to document skilled nursing visits, therapy sessions, wound care, testing, and medication administration. Without accurate code selection, facilities risk denied claims and lost revenue for services already delivered.

Which CPT codes cover initial nursing facility evaluations?

Codes 99304 through 99306 apply to initial skilled nursing facility care, covering the comprehensive intake assessment performed when a patient is admitted from a hospital, outpatient setting, or the community. Code 99318 applies to other medically necessary face-to-face visits on the admission day that the initial assessment codes do not capture. Selection among these depends on the depth of the exam and medical decision making involved.

How do subsequent nursing facility visit codes differ from initial visit codes?

Subsequent nursing facility care codes, 99307 through 99310, apply to follow-up visits and ongoing care oversight after the first comprehensive assessment has been billed. The specific code chosen within that range reflects the complexity of the visit, including how many conditions are being managed and the extent of medical decision making. Initial visit codes, by contrast, apply only once at admission.

What factors determine the correct E&M code level in a nursing facility?

Code level selection depends on the number and complexity of diagnosed conditions being managed, the depth of the patient history and records reviewed, the extent of the physical exam, and the complexity of medical decision making. Documentation must support each of these elements for the chosen code. Facilities that under-document these factors often end up billing a lower level of service than what was actually provided.

What other service categories require CPT coding in nursing facilities besides E&M visits?

Beyond evaluation and management, nursing facilities commonly bill CPT codes for physical, occupational, and speech therapy, wound care and complex medical supplies, psychological and psychiatric testing, radiology and diagnostic services, and medication administration. Each category has its own set of codes tied to the specific modality or treatment performed. Correct modifier use is also often needed to reflect how and where the service was delivered.

What billing problems arise from poor CPT coding in nursing facilities?

Insufficient documentation and coding gaps are the main causes of lost revenue in nursing facility billing. When services delivered are not matched to the correct CPT code, facilities may be underpaid or face claim denials from payers. Since nursing facilities already operate on slim margins, these gaps can directly affect their financial stability and ability to invest in care quality.

Summary: CPT Codes Used in Nursing Facility Billing

Medwave Billing, Credentialing, Payer Contracting, and Rate Negotiation ServicesApplying the optimal CPT codes in skilled nursing facilities requires understanding a broad array of services provided, precise documentation of resident evaluations, quantifying treatment times, listing diagnoses addressed, and payer billing policies. But specific codes do exist to capture rehabilitation therapies, complex medical equipment and supply usage, clinician E&M services, diagnostic testing, medication administration and more.

Becoming familiar with the CPT codes outlined here positions nursing facilities to maximize reimbursement potential through accurate billing capture. Partnering with a specialized post-acute care medical billing service offers an additional resource ensuring coding and documentation synchronize to convey the full scope of high-quality care delivered to improve the health of residents.


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    Alex J. Lau
    Alex J. Lau

    Co-Founder and COO of Medwave, bringing more than 30 years of hands-on experience in healthcare revenue cycle management, payer contracting, and medical credentialing.

    CPT Codes, Medical Billing, Nursing Facility Evaluation, Skilled Nursing Billing, Skilled Nursing Facilities

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