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How to Use Place of Service Codes in Behavioral Health

Medical billing codes are a hassle to keep up with and that includes place of service codes. Providers everywhere have to struggle to memorize billing codes that always seem to change, yet are vital to their receiving reimbursements from payers. When it comes time to file a claim, the correct code must be listed in order for it to be approved. When it comes to place of service codes, this is no exception. So what is a place of service code in behavioral health and how can providers code their claims accurately, every single time?

What Are Place of Service Codes in Behavioral Health?

A place of service (POS) code is a two-digit number that healthcare providers place on billing claims to indicate the setting (or place) in which they rendered a service to a patient. This is true in both medical and behavioral health settings. BH providers can practice in a variety of settings. Depending on the location, the patient’s plan and coverage might be different. While it might sound like something that does not carry much importance, the opposite is true. These codes matter greatly when submitting claims to insurance companies. 

Providers will input this code into section 24b of the CMS or HCFA 1500 claim form. If you code the claim with the incorrect number, the claim will more than likely be denied. So what codes are used most often in the behavioral health setting? 

Most Used Codes:

Not every POS code is applicable in the behavioral health setting. For example, mental and behavioral health services are not likely to be rendered at a Mass Immunization Center (POS code #60). Some of the most used place of service codes in behavioral health include: 

  • Code 02 – Telehealth Provided Other Than in a Patient’s home 
  • Code 03 – School
  • Code 10 – Telehealth Provided in Patient’s Home
  • Code 11 – Office
  • Code 14 – Group Home 
  • Code 51 – Inpatient Psychiatric Facility 
  • Code 52 – Psychiatric Facility-Partial Hospitalization
  • Code 53 – Community Mental Health Center
  • Code 54 – Intermediate Care Facility/Individuals with Intellectual Disabilities 
  • Code 55 – Residential Substance Abuse Treatment Facility 
  • Code 56 – Psychiatric Residential Treatment Center
  • Code 57- Non=residential Substance Abuse Treatment Facility
  • Code 58- Non-residential Opioid Treatment Facility 

How to Make Sure You are Always Completing This Process Accurately:

Every provider needs to be well-equipped to handle the hassle of medical billing codes, POS codes being no exception. With the right tools, providers can perfect their billing process. Errors in coding are a huge cause of denials. This is particularly important to your revenue and reimbursements. The fastest way to improve the accuracy of your billings codes is to utilize a comprehensive billing solution while also utilizing a managed billing partner. 

Your software can streamline your claims process while reducing errors along the way. Your managed billing partner can remove the burden you experience with your billing process, allowing you to focus more intently on your clients. 

Benefits of A Comprehensive Billing Solution: 

  1. Easy Billing and Invoicing 
  2. Simple Payment Collection. 
  3. Faster Reimbursements
  4. Reporting Tools 

Benefits of a Managed Billing Partner: 

  1. Claim Outsourcing 

A quality billing partner that specializes in behavioral health billing knows just how much providers have on their plate. The last thing they need to worry about is the accuracy and efficiency of their claim process. By outsourcing your claims, your gain peace of mind that they are being handled by experts. 

  1. In-Full and On-time Reimbursements 

With a huge reduction in billing code errors, providers increase their clean claims and get their hands on their reimbursements at a quicker rate. Your managed billing partner can greatly increase your clean claims with claim validation and submission. If a denial does happen, they will be sure to follow up in a timely fashion so you don’t see any further delay in payment. 

  1. A Dedicated Billing Account Specialist

A quality partner will dedicate a behavioral health billing specialist to your practice, giving you access to regularly scheduled meetings so you will always be in the loop. 

There are dozens of reasons to utilize a managed billing partner along with digital billing tools. When it comes to place of service codes in behavioral health, the main benefit of these tools is accuracy. You will never have to worry whether or not your claims are coded accurately when working with a quality partner.

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