Don’t Make These Mistakes When Billing for Endoscopy Services

Endoscopy billing

In the complex world of medical billing, few specialties present as many coding challenges as gastroenterology. Endoscopy billing—covering a wide range of procedures from colonoscopies to upper GI endoscopies—is a cornerstone of diagnostic and therapeutic care. However, the intricate rules governing their billing can be a minefield for healthcare providers and billing professionals. A single coding error can lead to claim denials, payment delays, audits, and even costly penalties.

To ensure your practice’s financial health and maintain compliance, it is crucial to understand the most common mistakes in endoscopy billing and how to avoid them. This comprehensive guide will walk you through the top errors in endoscopy billing, equipping you with the knowledge to optimize your revenue cycle and prevent denials.

Mistake #1: Incorrect CPT Code Selection

This is the most fundamental and frequent error. Endoscopy procedures are described by a wide array of CPT (Current Procedural Terminology) codes, and selecting the wrong one can lead to immediate denials. For example, a diagnostic upper GI endoscopy (EGD) is coded differently from one with a biopsy or a polypectomy.

  • CPT Code 43235: Upper GI Endoscopy, diagnostic.
  • CPT Code 43239: Upper GI Endoscopy with biopsy.
  • CPT Code 43255: Upper GI Endoscopy with control of bleeding.

Another common pitfall is confusing a flexible sigmoidoscopy (45330-45340) with a colonoscopy (45378-45398). The procedure’s CPT code must accurately reflect the specific service performed and the furthest point of insertion. Always ensure the CPT code you choose is supported by the physician’s documentation and the operative report.

Mistake #2: Failing to Understand Bundling Edits (NCCI)

The National Correct Coding Initiative (NCCI) Edits are a critical part of a payer’s claims processing system. These edits prevent the unbundling of procedures that are considered integral to a primary procedure. For example, when a biopsy is taken during a colonoscopy, the biopsy is typically bundled into the primary procedure and not billed separately.

However, sometimes procedures performed together are not considered bundled. In such cases, you need to use the appropriate modifiers to bypass the NCCI edit. The most common modifier is -59 (Distinct Procedural Service), which indicates that a procedure was performed on a different site or organ system, or was a different procedure altogether. A newer set of modifiers, the -X{EPSU} modifiers (e.g., -XE, -XS, -XP, -XU), have been introduced to provide more specificity than -59. Misusing or forgetting these modifiers is a leading cause of denials and can trigger audits.

Mistake #3: Misusing Key Modifiers

Beyond the bundling modifiers, several other modifiers are essential for accurate endoscopy billing. Misapplying them is a major source of denials.

  • Modifier -25 (Significant, Separately Identifiable E/M Service): This modifier is used to bill for an office visit (E/M service) on the same day as a procedure. For example, if a patient comes in for a colonoscopy and, during the same visit, the physician performs a separate, medically necessary E/M service (e.g., managing a different chronic condition), modifier -25 must be appended to the E/M code.
  • Modifier -52 (Reduced Services): Use this modifier when the physician performs a service that is less than the full service described by the CPT code. For example, if the scope is only advanced a short distance.
  • Modifier -53 (Discontinued Procedure): This is crucial for situations where a procedure is terminated due to patient intolerance, inadequate prep, or other medical reasons. Proper use of -53 is essential for billing a partial service.
  • Modifier -33 (Preventive Service): This is primarily used for screening colonoscopies, especially with Medicare. It indicates that the service was a preventive screening, which is often covered at 100% with no patient deductible or copay.

Mistake #4: Inadequate or Poor Documentation

The golden rule of medical billing is: If it’s not documented, it wasn’t done. The operative report is the single most important document for accurate coding. It must clearly and thoroughly describe:

  • The scope of the procedure (e.g., extent of visualization, specific anatomy examined).
  • All procedures performed (e.g., biopsies, polypectomy, control of bleeding).
  • The findings (e.g., size and location of polyps, ulcerations).
  • The reason for the procedure (the patient’s symptoms or diagnosis).
  • Any complications or reasons for discontinuation.

Without detailed documentation, a biller cannot justify the codes submitted. A lack of supporting documentation is a primary reason for claim denials during an audit.

Mistake #5: Lack of Medical Necessity and ICD-10 Mismatch

Every procedure must be medically necessary and supported by a valid diagnosis code (ICD-10). A common mistake is to bill a procedure for a diagnosis that a payer does not consider a valid reason for the procedure. For instance, a screening colonoscopy is billed with a screening diagnosis code (e.g., Z12.11). However, if the patient has a history of polyps, the procedure is considered a surveillance colonoscopy and should be coded with a different ICD-10 code (e.g., Z86.010).

Furthermore, when a screening colonoscopy turns therapeutic (e.g., a polyp is found and removed), the primary reason for the service changes from a screening to a diagnostic/therapeutic one. This requires a shift in ICD-10 codes and often the use of modifiers like -PT for Medicare patients to ensure it is covered under the preventive benefit.

Mistake #6: Ignoring the Global Period

Many endoscopy procedures have a global period, which is a timeframe (often 0 or 10 days) during which certain follow-up services related to the procedure are bundled into the initial payment. Billing for a follow-up visit during this period without appending the appropriate modifier (e.g., -24 for unrelated E/M services) will result in a denial. Always check the global period for the specific CPT code to avoid billing for services that are already included in the initial payment.

Mistake #7: Confusing Screening vs. Diagnostic Colonoscopies

This is perhaps the most significant source of confusion and denials in GI billing.

  • Screening Colonoscopy: Performed on an asymptomatic patient with no personal history of colon polyps or cancer, typically for routine cancer screening (e.g., age 45+).
  • Diagnostic/Surveillance Colonoscopy: Performed on a patient with symptoms (e.g., abdominal pain, rectal bleeding), a history of polyps, or a family history of colon cancer.

The rules for coverage and patient cost-sharing are vastly different. If a polyp is found during a screening colonoscopy and removed, the procedure is no longer considered a “pure” screening. For Medicare, this is a “screening that turns therapeutic” and requires specific coding with the -PT modifier to maintain the waiver of the deductible and coinsurance. Private payers have their own policies, which may vary significantly.

Mistake #8: Lack of Up-to-Date Knowledge

Coding rules, payer policies, and CPT/ICD-10 codes are constantly changing. Failing to stay current with these updates from sources like CMS (Centers for Medicare & Medicaid Services), the AMA (American Medical Association), and payer newsletters is a recipe for billing failure. Practices must invest in continuous education for their coders and billers to avoid costly mistakes.

Mistake #9: Inadequate Use of Prior Authorization

For many advanced endoscopy procedures, payers require prior authorization. A common mistake is to perform a service without verifying if prior authorization has been obtained and is valid. A lack of prior authorization will almost always result in a full denial, leaving the practice with a significant uncompensated service.

Conclusion

Billing for endoscopy services requires a meticulous approach, a deep understanding of CPT and ICD-10 codes, and a comprehensive knowledge of payer policies and modifiers. By avoiding these common mistakes—from selecting the wrong code to neglecting documentation and misusing modifiers—you can significantly reduce claim denials, accelerate your revenue cycle, and ensure your practice remains compliant. Investing in a robust billing process, ongoing staff training, and leveraging technology to streamline your workflow are essential steps to navigate the complexities of endoscopy billing successfully.