Question:
Our payers deny a significant number of pulse oximetry codes because they state the test is part of that day's E/M charge. Our physician wonders if the denials are because we aren't appending modifier 25 to the E/M code. What's your advice?Connecticut Subscriber
Answer:
The problem probably lies in reporting an E/M code with the pulse oximetry, not just the fact that you might need to include modifier 25 (
Significant, separately identifiable evaluation and management service by the same physician on the same day of the procedure or other service).
CMS stance:
Medicare assigns a "T" status for codes 94760 (
Noninvasive ear or pulse oximetry for oxygen saturation; single determination) and 94761 (
Noninvasive ear or pulse oximetry for oxygen saturation; multiple determinations [e.g., during exercise]). That means the carrier always bundles payment for the pulse oximetry services into payment for any other service provided on the same day (including an E/M service). Do not report 94760 or 94761 to CMS when the physician performs an office visit as the primary service on the same day.
CPT® guidelines:
You have different directions, however, if your payer strictly follows CPT® guidelines. Coding notes instruct you to report the appropriate E/M code if the physician provides a separately identifiable E/M service during the same encounter. In that case, you should append modifier 25 to the E/M code.