Get the sample weekly report

Specialty

Pathology billing services

Pathology billing services cover the physician's read of tissue and cells, and every claim turns on who did which part.

See where claims are getting stuck. No patient data needed.

The pathologist bills the professional component with modifier 26 when a hospital or another lab prepared the slides, bills globally only when one entity did both parts at one location, and counts units the way NCCI defines them: by specimen for surgical pathology and frozen sections, by stain and block for special stains, by antibody and specimen for immunohistochemistry. Remitwright gives pathology groups a dedicated biller who sets each case's component and units from the report and works denials back to the cause.

Pathology billing is one of Remitwright's specialty billing services, each set out with its own code families, denial reasons and payer rules.

Last reviewed by the Remitwright billing team. Editorial policy

  • 80500
  • 88104-88112
  • 88187-88189

Denials

Why pathology claims get denied

The reasons that come up most on pathology remittances, with the usual cause and the fix. Code explanations are our own; the official list is maintained by X12.

Top denial reasons for pathology claims: code, reason, usual cause and fix.
CodeReasonUsual causeThe fix
CO-171Slide work billed for a hospital patientAn independent lab billed the technical or global code for a specimen from a hospital inpatient or outpatient, whose slide work the hospital's payment already coversPatient status read from the requisition, with the pathologist's read billed with 26 and the slide work left with the hospital
CO-B20Part of the work came from elsewhereA global code billed for a case whose slides a hospital or reference lab prepared and billed for itselfComponent set by who prepared the slides and who read them, with the global code kept for cases done entirely in house at one location
CO-151Units above what the case supportsImmunohistochemistry billed per block instead of per specimen, recut levels counted as extra stains, or prostate cores billed as 88305 unitsUnits counted from the gross description and the stain log, with G0416 for prostate needle biopsies
CO-97Paid as part of another code88300 billed with a higher level for one specimen, stains billed with a second opinion on slides another pathologist already read, or flow cell counts billed with the interpretationNCCI pairs checked specimen by specimen before release
CO-50Second method or routine call billedImmunohistochemistry and flow cytometry both billed on similar specimens with no note on why the first method fell short, or a results phone call billed as a clinical consultationThe reason for a second method written into the report, and 80500 or 80502 billed only when all four Medicare conditions are in the record
CO-4Modifier does not fit the codeA clinical lab interpretation sent without 26, or the technical part of a physician-read hybridization code billed when a technologist read the probeCode and modifier chosen together from the report's signature and the test type

The denial code library

Codes

Common pathology codes and modifiers

Code families by number with our own one-line explanations. CPT descriptors belong to the AMA and are not reproduced here.

Code families in pathology billing, ordered by code number, with what each family covers in our own words.
CodesWhat the family covers
80500, 80502Clinical pathology consultation, professional only, payable when the attending physician asks for it about an abnormal result and the pathologist answers with judgment in a written narrative report.
88104-88112, 88172, 88177Cytology of fluids, washings and brushings, and the on-site adequacy check of a fine needle aspirate, which is counted by evaluation episode rather than by needle pass.
88187-88189Flow cytometry interpretation: one code covers every marker read on a specimen, and cell counts done by flow are not billed with it.
88300-88309Surgical pathology by level, from a specimen examined by eye alone (88300) up to the most involved gross and microscopic work. The unit is the specimen: tissue sent for its own examination and diagnosis, usually in its own container.
88312-88319Special stains, one unit for each stain on each block. Extra levels cut from one block and stained again, and the control slides, add nothing.
88321-88325A second opinion on slides or material prepared and read at another location, one unit per case whatever the slide count. Pathologists in the same group cannot bill it for each other.
88329-88334Consultation during surgery, including frozen sections, with the base codes counted per specimen. The gross look is part of the service, so 88300 is never added for the same specimen.
88341, 88342, 88344, 88360, 88361Immunohistochemistry, one unit per antibody procedure per specimen however many blocks were stained, with 88360 for manual quantitative work and 88361 when computer-assisted imaging does the counting.
88364-88377In situ hybridization read and interpreted by a physician, billed globally or with 26. When a technologist reads the probe instead, the lab reports 88271-88275 and not these codes.
G0416Every prostate needle biopsy specimen from one patient, reported as a single unit in place of 88305 units.

Modifiers that matter

26
The pathologist's read when a hospital or another lab prepared the slides. It also goes on the clinical lab interpretations Medicare lists for separate physician payment.
TC
The slide preparation, billed by the lab that did it for a patient who is not a hospital inpatient or outpatient. For hospital patients the hospital's own payment covers it.
59 or XS
Separate cytology specimens from different anatomic sites, each documented in the report, so related codes from the same group can be billed for each site.
59 or XU
Immunohistochemistry and flow cytometry on the same or similar specimens, used only when the first method left the microscopic findings unexplained and the report says so.

Pathology billing is not clinical laboratory billing

A clinical laboratory bills tests: the analyzer run, the CLIA certificate behind it, the panel and the lab fee schedule. Pathology bills a physician's judgment on tissue and cells under the physician fee schedule, so the questions change: who prepared the slides, who read them, how many specimens the surgeon sent and whether a second method was needed.

When one organization does both, the two claims are built separately. The test side, with CLIA numbers, waived tests and reference lab work, is on the clinical laboratory billing services page, and this page covers the professional read.1

Payers

Payer notes

  • MedicareFor services on or after July 1, 2012, an independent lab cannot bill the A/B MAC for the technical component of a physician pathology service furnished to a hospital inpatient or outpatient. The professional component can still be paid under the physician fee schedule.1
  • MedicareGlobal billing of a service split into professional and technical parts is allowed only when the same physician or supplier entity furnished both. If the two parts were done at different enrolled practice locations they are billed separately, and putting the same place of service code on both does not change that.1
  • MedicareA clinical consultation is paid only when the attending physician requests it, it concerns a result outside the clinically expected range, it ends in a written narrative report in the chart and it calls for medical judgment. Routine calls between the lab director and the attending physician about orders or results do not qualify.1
  • MedicarePayment for a physician's reading of a Pap smear, reported as P3000 or P3001, depends on two things: the lab's screening staff suspected an abnormality, and the physician personally reviewed and interpreted the smear.1
  • Medicare and NCCISeparate specimens must be medically reasonable to submit for their own examination. NCCI's example is two polyps found at different depths in one colonoscopy, which may go as two specimens, while several biopsies of one polyp usually go as one.2
  • Medicare and NCCIMedicare does not pay for duplicate testing. If one method establishes the diagnosis on one specimen, the same or another method is not billed on a similar specimen, such as blood and bone marrow, a marrow aspirate and biopsy, or two separate lymph nodes.2
  • MedicareThe date of service for the technical component of a pathology service is the date the specimen was collected, or the date collection ended if it spanned two days. A specimen stored more than 30 days before testing counts as archived, and its date is the day it came out of storage.3

Authorizations

Surgical pathology seldom needs its own authorization, because the pathologist does not order the case: a surgeon or clinic sends the specimen, and any approval sits with the procedure that produced it. Approval questions come up with molecular and genetic testing, which Medicare Advantage and commercial plans may review before the test runs. Your biller confirms the ordering physician, the patient's status and the coverage from the requisition, and checks plan policy before any test a plan lists for review.

Documentation traps

  • A gross description that lumps tissue from several containers together, so separate specimens cannot be defended
  • Stain and antibody logs that do not tie each stain to a block and a specimen
  • No sentence in the report on why a second method was run after the first one did not explain the findings
  • A clinical consultation with no request from the attending physician and no narrative report in the chart
  • A requisition missing the patient's status or the collection date, which decide who bills the slide work and on what date

What a specialist checks

Specialist or generalist for pathology billing?

A generalist biller can enter a pathology claim. Whether it pays turns on three things specific to pathology billing, and a specialty-aware biller checks each one.

  • Code families

    Each family billed with what the chart has to show for it.

    • 80500, 80502
    • 88104-88112, 88172, 88177
    • 88187-88189
  • Modifiers

    Applied only where the note supports them, line by line.

    • 26
    • TC
    • 59 or XS
  • Denials

    The usual causes checked before the claim goes out, and any denial traced back to the chart or the claim.

If you are moving from another billing company or an in-house biller, switching billing companies follows a plan: the old and new processes run side by side until the new one is proven, and every login and every pathology claim stays in your name.

What we handle

What we handle for pathology practices

A dedicated biller with named cover, working inside your system and reporting to you on one written page. How it works sets out the five stages.

Worked example · hypothetical

Worked example: the hospital biopsy billed globally

A pathology group that also runs an independent lab receives a breast biopsy from a hospital outpatient department. Its lab cuts and stains the slides, and its pathologist signs the report. The claim goes to Medicare as a global 88305 with two immunohistochemistry stains, and the technical portion is denied because the patient was a hospital outpatient.

The biller reads the requisition, rebills the surgical pathology and both stains with modifier 26 for the pathologist's read, and routes the slide work to the hospital under the agreement between the lab and the hospital. Intake now records the patient's status before any case is coded.

Software

Systems pathology practices usually run

Your biller works inside your system as a user you create. All the systems we work in.

Questions

Questions about pathology billing

When does a pathologist bill 26 instead of the global code?

When someone else prepared the slides, usually the hospital for its own inpatients and outpatients, the pathologist bills the read with 26. The global code is only for cases where the same entity prepared and read the slides at the same enrolled location. For hospital patients, an independent lab cannot bill the technical part to Medicare at all.

How are specimens counted for 88305?

By specimen: tissue sent for its own examination and diagnosis, usually in a separate container. It has to be medically reasonable to examine the pieces separately. Several biopsies of one polyp normally make one specimen, and all prostate needle biopsies from one patient go as one unit of G0416.

How many units of immunohistochemistry can we bill?

One per antibody procedure per specimen. Staining the same antibody on several blocks of one specimen is still one unit, and an antibody cocktail that yields one result is one unit. A true multiplex stain, one that gives separately reportable results, takes the multiplex code at one unit per specimen, so your biller reads the stain log before setting units.

Can we bill a second opinion on outside slides?

Yes, with 88321-88325, when the material was prepared and read at another location by another pathologist. It is one unit per case. It cannot be billed between pathologists in the same group, and new stains count only if your pathologist performs and reads them.

When can we bill a clinical pathology consultation?

When all four Medicare conditions are met: the attending physician asked, the result is outside the expected range for the patient, the answer is a written narrative report in the chart, and it needed medical judgment. A call to report results or suggest more testing is not a consultation, however long it runs.

What date of service goes on the technical component?

The collection date, or the end date when collection spanned two days. A specimen stored more than 30 days takes the date it was pulled from storage. A narrow exception for some tests ordered at least 14 days after a hospital discharge sits in the same Medicare chapter, so your biller checks it case by case.

Is pathology billing the same as clinical laboratory billing?

No. Lab billing is about the test, its CLIA certificate and the lab fee schedule. Pathology billing is about the physician's read under the physician fee schedule, with components and specimen units. The test side is on the clinical laboratory billing services page.

What does a pathology group provide so billing can start?

A signed BAA, a user for your biller in your practice management system, the hospitals and labs you read for and how each one handles the technical component, your report templates, and the payers you bill. If you already bill, a few months of remittances and denials show where components and units are costing payments.

Next step

See where your pathology claims are getting stuck.

Three quick questions. No patient data. A billing specialist reads every request and replies in writing.

  • Three questions, about two minutes
  • No patient data, no software to buy
  • A written reply from a biller, not a sales deck

What happens next

  1. You answer three questions

  2. A billing specialist reads them

  3. A written reply by email

Prefer email? sales@remitwright.com

Get a billing review

See where claims are getting stuck. No patient data needed.

Step 2 of 3

What do you bill for?

A little about your volume
How many providers? (Medical practice)

Trips per month? (NEMT)

Active clients? (Home care / home health)

Orders per month? (DME)

How many clinicians? (Behavioral health / therapy)

Claims per month, roughly? (Something else)

What's the biggest problem right now?

Where should we send the review?

Add details (optional)

We work inside your system; this tells us which login to ask for.

Please don't include patient information in this form.

  • No patient data requested
  • No obligation
  • Reply in writing
Get a billing review
Billing review

Get a billing review

See where claims are getting stuck. No patient data needed.

Step 1 of 3

What do you bill for?

A little about your volume
How many providers? (Medical practice)

Trips per month? (NEMT)

Active clients? (Home care / home health)

Orders per month? (DME)

How many clinicians? (Behavioral health / therapy)

Claims per month, roughly? (Something else)

What's the biggest problem right now?

Where should we send the review?

Add details (optional)

We work inside your system; this tells us which login to ask for.

Please don't include patient information in this form.

  • No patient data requested
  • No obligation
  • Reply in writing

BAA signed before any access, a user you create, MFA on. Patient data stays in your systems. How access works