CPT – Correct Procedural Terminology

In an attempt to provide uniformity in medicine and for medical billing purposes, CPT (Correct Procedural Terminology) codes were developed. CPT medical billing codes, which are established by the American Medical Association, are assigned to every service or procedure performed by a provider during a given visit. The CPT codes along with other necessary information is then sent to the patients insurance company for reimbursement of said services. These numbers are constant in their meaning, so that everyone involved in the process of the visit, the billing and the reimbursement is able to understand exactly what type of service is being charged. The CPT code is an important element in deciding the income of the provider. This makes correct CPT coding one of the top priorities for providers.

A CPT code is a five digit set of numbers, without decimals or other marks. CPT medical billing codes for services rendered, can be found on the bill that the provider or his establishment provides. On the bill, you will find a list of services provided and, usually, out to the side of the service is a set of five numbers, this is the CPT code. Along with this, the EOB (Explanation of Benefits) that we receive from our insurance company will also list the CPT codes in a similar fashion. The EOB will also disclose the amount of the reimbursement for each service rendered.