In Brief
You might already have a sticky note somewhere with the CPT codes you use day-to-day. But year-to-year, there are always updates to the codes and new things to be aware of to help your billing and documentation overall.
CPT codes are a vital part of the healthcare system, ensuring accurate billing and reimbursement for services. Knowing these codes is key to running a successful practice. Let’s take a look at some of the updates for 2025, some common codes to keep handy, as well as a quick overview of CPT codes.
What is a CPT Code?
Just as a quick overview – CPT stands for Current Procedural Terminology, a standardized coding system that describes medical, surgical, psychological, and diagnostic services healthcare professionals provide. The American Medical Association (AMA) developed and maintains CPT codes to communicate uniform information about medical services and procedures. CPT codes serve as the primary language for reporting healthcare services across various specialties. They get updated annually to reflect changes in medical practice and technology.
Knowing and using CPT codes are crucial in medical billing, and determining reimbursement rates from insurance companies and government programs like Medicare and Medicaid. When mental health clinicians accurately assign CPT codes, they ensure proper payment for their services.
How are CPT Codes Used?
CPT codes play a key role for mental health providers when communicating with insurance companies, billing for services rendered, and ensuring proper reimbursement. Here are some important ways CPT codes are applied in mental health:
- Billing insurance companies: Mental health providers use CPT codes to submit claims to insurance companies for services provided. The codes help insurers understand the specific services rendered and determine the appropriate reimbursement amount.
- Tracking healthcare services: CPT codes allow for standardized tracking of mental health services across different providers and settings. This helps in analyzing trends, identifying areas for improvement, and supporting research in mental health care.
- Ensuring clear communication: As a universal language in healthcare, CPT codes facilitate clear communication among mental health providers, insurance companies, and other stakeholders. This clarity reduces confusion and errors in the billing process.
- Promoting transparency: By using standardized CPT codes, mental health providers promote transparency in their billing practices. Patients and payers can easily understand the services provided, leading to increased trust and satisfaction.
- Enhancing operational efficiency: Accurate CPT coding streamlines administrative processes, reduces paperwork, and minimizes errors in documentation. This allows mental health providers to focus more on patient care and less on administrative tasks.
To make the most of CPT codes, mental health providers should stay updated with code changes, select the most specific codes that accurately represent the services provided, and thoroughly review codes before submitting claims. By following these best practices, providers can improve their billing efficiency, reduce denials, and ensure compliance with regulations.
Three Main Categories of CPT Codes
CPT codes fall into three distinct categories, each serving a specific role in the healthcare system. Knowing these categories helps ensure accurate coding and billing.
- Category I Codes: These are the most frequently used CPT codes, representing established procedures and services. Category I codes consist of five-digit numeric codes (e.g., 90837 for a 60-minute psychotherapy session) and are divided into six sections: Evaluation and Management, Anesthesia, Surgery, Radiology, Pathology and Laboratory, and Medicine. The American Medical Association (AMA) and the CPT Editorial Board update these codes yearly to reflect changes in medical practice.
- Category II Codes: These supplemental codes assist with performance measurement and quality improvement initiatives. Category II codes are alphanumeric (e.g., 3040F) and are not used for billing. Instead, they help track patient outcomes, adherence to clinical guidelines, and other performance metrics. When used, these codes typically carry a $0 charge amount as they are not reimbursable.
- Category III Codes: These temporary codes represent new technologies, services, and procedures that are being evaluated for efficacy and outcomes. Like Category I codes, they are five digits long but may include a combination of letters and numbers. If a procedure or service has a Category III code, it must be used instead of a Category I unlisted procedure code. Category III codes allow for data collection on new medical techniques before they are widely adopted and receive a Category I code.
Updates for 2025
The 2025 CPT code set released by the American Medical Association (AMA) brings several important updates to keep pace with the shifting landscape of healthcare at large. Here's a look at the key changes:
- 270 new codes, 112 deletions, and 38 revisions: The 2025 update includes a total of 420 changes to the CPT code set, focusing on incorporating new technologies and procedures.
- Proprietary Laboratory Analyses (PLA) and Category III codes: PLA codes, mainly covering new genetic testing, account for 37% of the new codes. Category III codes, used for new and developing technologies, make up 30% of the additions, with 81 new codes introduced.
- Telemedicine and AI-assisted procedures: 17 new telemedicine codes support the ongoing expansion of remote care delivery, while seven new Category III codes capture data analysis by AI applications in various medical fields.
- Remote Therapeutic Monitoring (RTM) revisions: Codes 98975-98978 have been revised to include digital interventions and device supply for data access and transmission, with additional RTM codes set to be added in January 2026.
- Genetic counseling: The new CPT code 96041 replaces 96040, allowing genetic counselors to bill based on total time spent providing services, removing the "face-to-face" requirement for reimbursement.
These updates affect various specialties, including cardiology, general surgery, radiology, and telemedicine. Healthcare providers and billers should update their systems, communicate with payers about coverage changes, and educate staff on the new codes relevant to their specialty to ensure compliance and optimal reimbursement.
All changes to the 2025 CPT code set take effect on January 1, 2025.
Key Trends in Recent Years for Therapists
Mental health CPT codes have seen several significant changes in recent years, with a focus on improving the clarity and billing efficiency of mental health services. While you should consult the AMA’s official website or the American Psychiatric Association (APA) for the latest updates, here are some common updates in recent years that could have been carried forward or adjusted further in 2025:
Telehealth Code Updates
The ongoing shift toward telehealth has led to new telehealth-specific CPT codes or revisions to existing codes to cover virtual mental health services. For example:
- Codes for psychotherapy and psychiatric evaluations conducted via telehealth.
- Expansion of telehealth codes to include more mental health service types, such as group therapy or psychological testing.
- Modifications in the documentation requirements to match telehealth service delivery.
Psychotherapy and Behavioral Health Codes
- Code Consolidation: In previous years, there was a consolidation of psychotherapy codes to simplify billing. For instance, many individual psychotherapy sessions were standardized into broader timeframes (e.g., 30-minute sessions, 45-minute sessions).
- Extended Services: Some codes were updated to recognize longer therapy sessions or more intensive interventions (e.g., for patients with severe mental health issues such as schizophrenia, complex trauma, etc.).
New Codes for Collaborative Care Models
The Collaborative Care Model (CoCM) has been increasingly recognized as an effective way to integrate mental health care into primary care settings. The AMA has added or updated codes to reflect the collaborative team approach, where psychiatrists, psychologists, and other clinicians work with primary care providers to manage mental health conditions.
Psychiatric Evaluation and Re-evaluation
- New Codes for Psychiatric Evaluations: There were updates to the codes used for psychiatric diagnostic evaluations, including initial evaluation codes (e.g., 90791, 90792) and those for subsequent re-evaluations.
- Extended Time and Complexity: For mental health clinicians dealing with more complex cases (e.g., patients with multiple comorbidities), CPT code updates might have focused on reflecting the added time and complexity of these evaluations.
Psychological and Neuropsychological Testing
- Updates could include codes that cover various types of psychological and neuropsychological testing used for diagnostics and treatment planning in mental health.
- New Testing Codes: As mental health clinicians increasingly use tests to evaluate conditions like ADHD, autism spectrum disorders, and cognitive decline, CPT codes for these tests have likely been revised to address new methodologies and requirements.
Changes to Add-on Codes
- Add-on codes for services like crisis intervention, case management, and behavioral health screenings have been evolving. These changes could potentially increase the reimbursement for services that were previously under-recognized.
Most Common Codes in 2024 for Therapists
It’s always helpful to take a look at what codes are being used regularly to ensure the most accurate billing. Here are the top 25 Category 1 CPT codes for mental health services in 2024:
- 90791: Psychiatric diagnostic evaluation without medical services, typically used for an initial diagnostic evaluation, usually covered once per client.
- 90792: Psychiatric diagnostic evaluation with medical services, including medical services in addition to the diagnostic evaluation.
- 90832: 30-minute psychotherapy session (16-37 minutes), for individual sessions lasting up to 37 minutes.
- 90834: 45-minute psychotherapy session (38-52 minutes), for individual sessions lasting up to 52 minutes.
- 90837: 60-minute psychotherapy session (53+ minutes), for individual sessions lasting 53 minutes or more.
- 90838: 60-minute psychotherapy session with evaluation and management (E/M) services, including both psychotherapy and E/M services.
- 90839: Crisis psychotherapy, first 60 minutes, for crisis interventions lasting up to 60 minutes.
- 90840: Crisis psychotherapy, each additional 30 minutes beyond the initial 60 minutes.
- 90846: Family or couples psychotherapy without the patient present, used when the session involves family members or a couple but does not include the patient.
- 90847: Family or couples psychotherapy with the patient present, used when the session includes both the patient and their family members or partner.
- 90849: Multiple-family group psychotherapy, for group therapy sessions involving multiple families.
- 90853: Group psychotherapy (other than a multiple-family group), for group therapy sessions not involving multiple families.
- 96130: Psychological testing evaluation services by a physician or other qualified healthcare professional, first hour, used for the initial hour of psychological testing.
- 96136: Psychological or neuropsychological test administration and scoring by a physician or other qualified healthcare professional, first 30 minutes, with additional time coded separately using +96137.
- 96138: Psychological or neuropsychological test administration and scoring by a technician, first 30 minutes, with additional time coded using +96139.
- 96146: Psychological or neuropsychological test administration, with single automated, standardized instrument via electronic platform, with automated result only.
- 96156-96171: Health behavior assessment and intervention services, including various assessments and interventions aimed at changing health behaviors.
- 90845: Psychoanalysis, used for psychoanalytic therapy sessions.
- 90875: Under other psychiatric services or procedures, a catch-all code for psychiatric services that do not fit into other categories.
Accurately reporting these CPT codes ensures proper reimbursement from payers and helps maintain compliance with billing regulations. Always consult the most recent CPT manual and payer guidelines for the most up-to-date information on coding and billing requirements.