Physical Therapy Billing Units

What are Physical Therapy Billing Units?

Physical Therapy Billing Units are fundamental metrics used in the billing processes of physical therapy practices. These units measure the amount of time a physical therapist spends delivering specific therapeutic services, such as therapeutic exercise or manual therapy, during a session. Each service provided, whether a physical therapy evaluation or ongoing treatment, corresponds to a specific current procedural terminology (CPT) code that translates into billing units.

Accurate billing is crucial for physical therapy practices to ensure they are reimbursed appropriately for the time and resources utilized. A billing unit typically represents a time frame within the physical therapy billing process, helping streamline the financial aspects of healthcare delivery and making the billing process transparent and manageable for physical therapists.

Understanding how to calculate and apply these units is essential for maintaining the financial health of their practice and ensuring compliance with healthcare regulations.

Types of Physical Therapy Billing Units

In physical therapy, billing units are crucial for accurately capturing and reimbursing services. These units are primarily categorized into time-based and service-based units, each aligning with specific aspects of physical therapy practice. Understanding these can significantly streamline the billing process, ensuring that healthcare providers receive fair service compensation.

Time-based billing units

Time-based billing units in outpatient physical therapy services are quantified based on the duration of the therapy provided, adhering to the 8-minute Rule. This rule stipulates that a physical therapist must engage in at least eight minutes of direct treatment to bill for one unit of service. The time-based codes billing structure for time-based units is outlined in 15-minute increments as follows:

• 1-7 minutes: 0 units
• 8-22 minutes: 1 unit
• 23-37 minutes: 2 units
• 38-52 minutes: 3 units
• 53-67 minutes: 4 units
• 68-82 minutes: 5 units

If a treatment session falls on the boundary between categories, the time is rounded to the nearest whole number of units. This precise measurement ensures that each additional unit billed reflects a proportional increase in service duration, thereby aligning billing with actual service delivery.

Service-based billing units

Unlike time-based units, service-based PT billing units are determined by the specific types of physical therapy services rendered, irrespective of time. This category includes evaluations and specialized modalities integral to a patient’s treatment plan. Each service is associated with a distinct CPT code defining the nature of the therapy. For example:

• Evaluation service-based codes are often billed as a single unit per session, regardless of the time spent.
• Manual therapy (97140) involves specific hands-on techniques like mobilization or manipulation.
• Therapeutic exercise (97110) focuses on improving strength and flexibility, typically billed per session based on the treatment’s complexity rather than its duration (American Medical Association, 2022).

Service-based billing facilitates straightforward and effective management of therapy sessions that may not fit neatly into time-based measurements, such as group therapy sessions or complex interventions that require varied time commitments across different sessions.

Additional considerations in using the codes

Healthcare professionals must consider several key aspects when implementing physical therapy billing codes to ensure proper billing and compliance. The complexity of managing CPT codes, particularly for services like manual therapy, gait training, and group therapy sessions, necessitates meticulous attention to detail.

For group therapy sessions, the specific CPT code 97150 is utilized. Regardless of the exercise diversity, each participant is billed one unit under this code. This simplification aids in the uniform application of billing practices across multiple patients receiving simultaneous treatment.

Moreover, when calculating total units for a session that includes multiple services, therapists should aggregate the time spent on all billable activities. For example, if a session comprises 30 minutes of therapeutic exercises and 15 minutes of manual therapy, the billing would break down to two units for the exercises and one for the manual therapy, totaling three billable units.

Documentation plays a critical role in this process. Detailed records must be kept, including the duration and type of each service provided, to uphold the medical necessity of the treatments and comply with insurance requirements. Accurate documentation supports the claims made on billing statements, aligning with the 8-minute rule and other regulatory guidelines to prevent discrepancies and potential audits.

Common CPT codes in physical therapy

Understanding the CPT codes is essential for physical therapists to ensure accurate and efficient billing. Each code corresponds to a specific therapeutic service provided during treatment sessions. Here are some of the frequently used CPT codes in physical therapy:

• 97110 - Therapeutic exercise: This code is used for exercises that aim to enhance strength, flexibility, endurance, and range of motion. It requires direct patient care, ensuring the physical therapist actively engages with the patient throughout the session.
• 97112 - Neuromuscular re-education: Techniques under this code are designed to improve balance, coordination, posture, and proprioception. These are crucial for patients recovering from neurological impairments or injuries that affect their movement patterns.
• 97116 - Gait training: This involves activities that focus on improving a patient’s walking ability and functional mobility. It particularly benefits those recovering from lower limb injuries or neurological conditions.
• 97140 - Manual therapy: This code covers hands-on techniques like joint mobilization and soft tissue manipulation, crucial for alleviating pain and enhancing joint function.
• 97530 - Therapeutic activities: This time-based code is used for dynamic activities to improve functional performance, such as lifting or carrying tasks. These tasks focus on real-world applications of physical strength and endurance.
• 97535 - Self-care/Home management training: This code instructs patients in daily living activities that promote independence, especially after significant injuries or surgeries.
• 97750 - Physical performance test or measurement: Assessments conducted under this code evaluate a patient’s physical function or capacity, providing essential data for treatment planning.
• 97761 - Prosthetic training: This code is used for therapy that helps patients adapt to using prosthetic devices. It is crucial for integrating into daily life after limb loss.
• 97035 - Ultrasound therapy: Utilized for deep tissue heating to aid pain relief and promote tissue healing through ultrasound technology.
• 97014 - Electrical stimulation (unattended): This code applies to electrical stimulation provided without constant supervision, typically used for pain management and muscle stimulation.

Each of these codes ensures that physical therapists can accurately document the specific services provided, facilitating proper reimbursement and continuity of care for patients.

Reference

American Medical Association. (2022, January 7). CPT® code 97110: Therapy procedure using exercise, each 15 minutes. https://www.ama-assn.org/practice-management/cpt/cpt-code-97110-therapy-procedure-using-exercise-each-15-minutes