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Q&A: Billing for Outpatient Therapy Services

Analysis  |  By Revenue Cycle Advisor  
   February 22, 2021

For the duration of the public health emergency, hospitals may bill outpatient therapy services in two ways.

A version of this article was first published February 22, 2021, by HCPro's Revenue Cycle Advisor, a sibling publication to HealthLeaders.

Q: During the public health emergency, are outpatient therapy services provided to a patient located in their home or a clinic billed in the same way as outpatient therapy services provided to a patient whose home has been designated a provider-based department (PBD)?

A: For the duration of the public health emergency, a hospital may bill outpatient therapy services in two ways:

  1. As Category 1 remote services, if the patient is registered as an outpatient and the patient’s home is made a PBD to the hospital

  2. Via telehealth with modifier -95 attached, without making the patient’s home a PBD to the hospital/CAH

In either case, payment will be what it would have been if services had been delivered in the normal setting.

For more information, see "Note from the instructor: Creative delivery of outpatient hospital services during the COVID-19 PHE, Part II" by Judith Kares, JD.

Revenue Cycle Advisor combines all of HCPro's Medicare regulatory and reimbursement resources into one handy and easy-to-access portal. News is not just repeated from other sources. It is analyzed by our Medicare experts so professionals can comprehend any new rule and regulatory updates thoroughly. Learn more.


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