CPT Coding Basics

Aug 22, 2025

Overview

This lecture introduced the basics of CPT coding, including how to look up CPT codes, understand CPT guidelines, use the CPT manual structure, and apply coding to real-life scenarios.

Goals of the Presentation

  • Learn how to look up a CPT code using the index, chapters, and guidelines.
  • Review CPT basic coding guidelines.
  • Apply knowledge to real-life coding scenarios.

What is CPT Coding?

  • CPT stands for Current Procedural Terminology, maintained by the American Medical Association (AMA).
  • CPT codes describe medical, surgical, and diagnostic services for uniform communication among healthcare providers and payers.
  • Used for anything a doctor does to or for a patient.

Steps to Look Up a CPT Code

  • Step 1: Look up the main term (procedure) in the index at the back of the CPT manual (alphabetical order).
  • Step 2: Verify the code in the appropriate chapter (color pages, organized by body system).
  • Step 3: Confirm if any guidelines or directives apply, especially parenthetical notes.

Example Scenarios

  • Example 1: Cervical esophagotomy β†’ Main term: Esophagotomy β†’ Index β†’ Verify code in chapter β†’ Confirm guidelines for proper selection.
  • Example 2: Appendectomy β†’ Main term: Appendectomy β†’ Index β†’ Verify multiple codes in chapter β†’ Eliminate codes based on documentation.
  • Example 3: Radical perineal prostatectomy, total abdominal hysterectomy, and coding multiple procedures: Use sequencing and guideline rules.

Types and Structure of CPT Codes

  • Category 1: Five-digit codes for common procedures and services (mandatory).
  • Category 2: Five-character, ending in 'F', for performance measurement (optional).
  • Category 3: Five-character, ending in 'T', for temporary/emerging procedures (precede unlisted codes).
  • Unlisted codes: Usually end in 99 or 999, used if no specific code exists.

CPT Symbols and Appendices

  • Red dot: New code that year.
  • Blue triangle: Revised code.
  • Hashtag (#): Resequenced/out-of-order code.
  • Plus sign (+): Add-on code (never sequenced first, not used with modifiers 51 or 50).
  • Circle with slash: Modifier 51-exempt code.
  • Lightning bolt: Pending FDA approval.
  • Appendices A–O: Each covers different aspects like modifiers (A), new/deleted codes (B), add-on codes (D), vascular families (L), and more.

CPT Book Organization

  • Six sections: Evaluation & Management, Anesthesia, Surgery, Radiology, Pathology/Lab, Medicine.
  • Surgery section is largest, organized by body system and in numerical order.

Code Hierarchy & Annotation

  • Parent (non-indented) and child (indented) code families exist; children share common language from parent.
  • Standalone codes have no children.
  • Annotation technique: Circle families, highlight indented codes, parenthetical guidelines, and key words for clarity (CHUN method).

Sequencing & Guidelines

  • Sequence codes based on relative value units (RVUs) or according to CPT guidelines.
  • Guidelines rank: 1) Parenthetical (parenthesis), 2) Specific, 3) General (green pages).
  • CPT surgical package: Bundles related physician services (e.g., visit, anesthesia, post-op care) into one code.

Practice & Summary

  • Always use three steps to code: index lookup, chapter verification, confirm guidelines.
  • Apply knowledge to actual patient scenarios for practice.

Key Terms & Definitions

  • CPT β€” Current Procedural Terminology, a standardized code set for medical procedures.
  • Parent Code β€” The main, non-indented code in a family.
  • Child Code β€” Indented code that relies on the parent code’s description.
  • Add-on Code β€” Can only be used with a primary code; not sequenced first.
  • Modifier β€” Two-character code appended to a CPT code to provide additional info.
  • RVU β€” Relative Value Unit, determines code sequencing based on complexity/cost.
  • Parenthetical Guideline β€” Instruction within parentheses that overrides other guidelines.

Action Items / Next Steps

  • Practice looking up CPT codes using the three-step process.
  • Review CPT symbols and appendix functions in your CPT manual.
  • Prepare for advanced CPT coding (Part Two) and study modifiers in detail.