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Physician and Professional Services

Revised: 12-06-2018

  • Acupuncture
  • Advanced Practice Registered Nurse (APRN) Services
  • Allergy Immunotherapy-Allergy Testing
  • Authorization Policy
  • Botulinum Toxin
  • Casting Provided in a Physician Office
  • Covered Nutritional Services
  • Diabetic Self-Management Training (DSMT) Services
  • EKG Interpretations
  • Education and Counseling
  • Evaluation and Management Services (E/M)
  • Gender Confirming Surgery
  • Hospital Physician Services
  • Hysterectomy
  • Immunizations and Vaccinations
  • Legal References
  • Locum Tenens Physicians
  • Male Circumcision
  • Medical Nutritional Therapy (MNT)
  • Medical Supplies Provided by a Physician Office
  • National Diabetes Prevention Program (DPP)
  • Nutritional Products
  • Outpatient Hospital Services
  • Outpatient Physician Administered Drugs
  • Physician Assistants (PA)
  • Physician Extenders
  • Physician Services
  • Plastic and Reconstructive Surgery
  • Podiatry
  • Reciprocal Billing
  • Sleep Testing
  • Smoking Cessation Services
  • Surgical Services
  • Telemedicine
  • Transplant Services
  • Urgent Care Clinic Services
  • Physician Services

    Physician: A person who is licensed to provide health services within the scope of his or her profession under Minnesota Statutes 147. For purposes of this section, a physician means a licensed doctor of medicine or osteopathy.

    Enrollment Requirements

    Physicians must enroll with DHS to receive payment. Physicians must receive an individual National Provider Identifier (NPI) even if they are a member of a group or clinic, or are employed by an outpatient hospital or other organized health care delivery system that employs physicians. (Refer to the Locum Tenens section.)

    Provider Type Home Page Links
    Review related web pages for the latest news and additions, forms, and quick links.

    Covered Services

    Services provided by a physician are not restricted to a specific place of service unless specified by CPT or HCPCS code description. Physicians may provide services in the Minnesota Health Care Programs (MHCP) member’s home, nursing home, outpatient hospital, inpatient hospital, or other facility.

    Physicians may not bill separately for performing administrative or medical functions that are paid through an institution's per diem rate.

    A health service must be medically necessary to be a covered service. Services listed as provided by a physician in this chapter may be provided by other health care professionals if the service is within the scope of their practice as defined in the Minnesota Statues.

    Outpatient Physician-Administered Drugs

    Bill drugs that are administered to a patient as part of a clinic or other outpatient visit to MHCP using the appropriate HCPCS code(s). Do not bill drugs administered during an outpatient visit through the pharmacy point of sale (POS) system. MHCP does not allow “brown-bagging” or “white-bagging” of prescription drugs administered in an office setting.

    Pharmacies, including mail order pharmacies, who are providing the drugs for a clinic visit, must bill the clinic and not MHCP for the drugs dispensed. MHCP will make an exception only if a member has third-party liability and the third-party payer requires that the drugs be billed through the pharmacy benefit.

    Pharmacies should not dispense drugs directly to a patient if the drugs are intended for use during a clinic or other outpatient visit.

    For injections that involve multiple national drug codes (NDCs), bill the initial line with the HCPC code, units and NDC with modifier KP (first drug of a multiple drug unit dose formulation). Bill the second, and any subsequent line item(s) of the same HCPC code with modifier KQ (second or subsequent drug of a multiple drug unit dose formulation). If billing the same HCPC code on more than two lines, the KQ modifier and an additional modifier are needed on each subsequent line.

    Outpatient Physician-Administered Drugs NDC Reporting

    The federal Deficit Reduction Act of 2005 (DRA) requires states to collect rebates for covered outpatient drugs administered by physicians. To comply, states must gather utilization data including the NDC, quantity, and unit of measure from claims submitted for physician-administered drugs.

    Include the correct NDC information on all claims, including Medicare and other third-party claims, when billing non-vaccine drugs using HCPCS codes. Participants in the 340B Drug Pricing Program are included in the NDC reporting requirements; however, drugs purchased through 340B are exempt from NDC reporting. Add the UD modifier to drugs purchased through the 340B program. Refer to the HCPCS Codes Requiring NDC when submitting claims for reimbursement.

    NDC Reporting of Outpatient Physician-Administered Compound Drug

    Multiple service lines are necessary to report a compound drug. One NDC is allowed per line. Report the HCPC code as a separate line for each associated NDC.

    The NDC quantity and dose form are reported in the Quantity and Unit or Basis for Measurement Code or on MN–ITS Interactive in the Drug Pricing field on the Services Tab.

    Reporting the Discarded Portion of Administered Drugs

    When a provider must discard the remainder of a single use vial or other single use package after administering a dose or quantity of the drug or biological, report the amount of the unused and discarded drug on a separate claim line using the JW modifier. Providers are expected to use the package size that minimizes the amount of waste billed to MHCP. For example, if a patient needs 50 mg of drug and the product comes in 50 mg and 100 mg vials, use the 50 mg vial.

    The JW modifier is not permitted when the actual dose of the drug or biological administered is less than the billing unit. The JW modifier is not appropriate for drugs that are from multiple dose vials or packages.

    Authorization Requirements

    Contact Health Information Designs (HID), the MHCP Prescription Drug PA review agent when providing a physician administered drug that requires authorization. All authorization requests will require a primary diagnosis and may require supporting documentation.

    Submit authorization requests in one of these ways:

  • • Call the MHCP Prescription Drug Prior Authorization Agent
  • • Complete the paper MHCP Authorization Form (DHS-4695) (PDF) or the MHCP Drug Authorization Form (DHS-4422) (PDF)
  • • Complete the medical services authorization (PDF) online via MN–ITS
  • • Fax completed authorization forms or MN–ITS Authorization request response and documentation to the MHCP Prescrption Drug Prior Authorization Agent
  • Evaluation and Management Services (E/M)

    MHCP follows CPT guidelines for Evaluation and Management Services.

    Concurrent Care

    Concurrent care services: The provision of similar services (for example, hospital visits to the same patient by more than one physician on the same day). If a consulting physician subsequently assumes the responsibility for a portion of patient management, it is considered concurrent care.

    MHCP pays concurrent care when the medical condition of the member requires the services of more than one physician. Generally, a member’s condition that requires physician input in more than one specialty area establishes medical necessity for concurrent care.

    Noncovered Concurrent Care Services

    MHCP will not pay for concurrent care when one of the following occur:

  • • The physician makes a routine call at the request of the member and family or as a matter of personal interest
  • • Available information does not support the medical necessity of concurrent care
  • Consultations

    MHCP follows CPT guidelines for office, outpatient and inpatient consultations.

    Critical Care

    Follow CPT guidelines for reporting critical care. Services not included in critical care may be reported separately.

    Observation Services

    Report using hospital observation codes following CPT guidelines.

    Up to 48 hours of observation services are allowed, and in some circumstances up to 72 hours.

    Physician Services While Member is Inpatient Status

    For procedures done while the patient is considered in an inpatient status, use place of service code 21 (inpatient hospital).

    Physician Services in Long-Term Care (LTC) Facilities

    Payment for physician and professional services in an LTC must be medically necessary. Refer to the Physician Extender section of this chapter for use of physician extender services provided in LTC facilities. Refer to MHCP Long-Term Care policy for additional information on covered services in LTC facilities.

    Prolonged Physician Services

    Prolonged services involving direct (face-to-face) patient contact are covered. Use CPT guidelines to report Prolonged Services.

    Physician Standby Services

    Standby services are covered when another physician requests them and involve prolonged attendance without direct (face-to-face) patient contact. Standby services are covered only in the case of a documented existing risk or distress.

    Physician Case Management (Team Conferences)

    A medical team conference conducted for the purpose of coordinating the activities of a member's care with an interdisciplinary team of health professionals or a representative of community agencies is a covered service.

    The medical record must document the contents of the conference and the amount of time spent in the conference.

    Bill the appropriate CPT E/M code.

    Medical Conference or Counseling (as part of E/M code)

    Physician services related to counseling are covered as part of the E/M codes if the counseling is conducted face-to-face with the patient, relative, or guardian.

    When counseling or coordination of care dominates (more than 50 percent) the encounter between the physician and the patient or family, time may be considered the key or controlling factor to qualify for a particular level of E/M service. Medical record documentation must reflect the content of the counseling, coordination of care, and the amount of time spent in counseling or coordination.

    Telephone Calls

    Telephone calls are not covered by MHCP.

    Care Plan Oversight

    Care plan oversight services are not covered by MHCP.

    Preventive Medicine Services

    Preventive Health Services: A health service provided to a patient to avoid or minimize the occurrence or recurrence of illness, infection, disability, or other health condition. Follow CPT guidelines for billing preventive health services.

    MHCP covers Grade A and B preventive services that the United States Preventive Services Task Force recommends.

    Noncovered Preventive Services

    The following services are not covered as a preventive service:

  • • Services that are only for vocational or educational purposes that are not health related
  • • Services that deal with external, social, or environmental factors that do not directly address the member’s physical or mental health
  • Preventive Medicine Services or Counseling, and Risk Factor Reduction

    Preventive health counseling to promote health and prevent illness or injury is a covered service. Bill for these services with the appropriate E/M code for preventive medicine, individual counseling, and group counseling.

    Education and Counseling

    Eligible Providers

    Eligible providers include: enrolled physicians, physician clinics, community clinics, outpatient hospitals, public health clinics, family planning agencies, certified nurse practitioners, physician assistants, clinical nurse specialists, certified nurse midwives, community mental health centers, and physician extenders.

    Covered education or counseling services

    Reason for education or counseling


    Eligible providers

    Billing directions

    Education or counseling is the primary reason for the visit:

    services to healthy individuals for the purpose of promoting health and anticipatory guidance (i.e., family planning, smoking cessation, infant safety, etc.).



  • • Physicians
  • • Enrolled PAs and APRNs (NPs, CNSs, CNMs)
  • • Physician extenders: non-enrolled APRNs, RNs, genetic counselors, licensed acupuncturists, tobacco cessation counselors and pharmacists
  • Use modifier U7 when a physician extender providers the service.

    Education or counseling is the primary reason for the visit: services to people with symptoms, a diagnosis or an established illness (i.e., prenatal, joint care, pain, HIV, asthma).

    Refer also to nutritional, diabetic and weight reduction guidelines.



  • • Enrolled PAs and APRNS (NPs, CNSs, CNMs)
  • • Physician extenders (non-enrolled APRNs, RNs, genetic counselors, licensed acupuncturists)
  • Use modifier U7 when a physician extender provides the service.

    Education or counseling is an add-on to the office visit (for example, if provided as part of the regular office visit and dominating more than 50% of the clinician and patient visit, then time may be considered the key or controlling factor to qualify for a particular level of E/M service).

    99201–99205 (new patient)

    (established patient)

  • • Physicians
  • • Enrolled PAs and APRNs (NPs, CNSs, CNMs)
  • Asthma education, per session.

    Asthma education may be reported outside of the office visit when a clinician writes an asthma action plan (AAP) and discusses it with the patient or family, documents in the medical record and gives a copy to the asthma educator.


    Report asthma education with S9441 by using the supervising clinicians’ NPI for one of the following:

  • • Non-enrolled APRNs (NPs, CNSs, CNMs)
  • • RNs
  • • Pharmacists
  • • Certified Asthma Educators (CAE)
  • Bill one unit for each class.

    Birthing classes per session.


    Clinics and outpatient hospitals whose prenatal education program is directed by an MHCP enrolled provider may report S9442, S9443 and H1003 with one of the following:

  • • Non-enrolled APRNs (NPs, CNSs, CNMs)
  • • RNs
  • • Health educators with at least a baccalaureate level degree in health education or national certification with ICEA, Lamaze or NCHEC for prenatal certification or IBCLC for lactation certification
  • Bill one unit for each time the class meets.

    Lactation classes per session.


    Bill one unit for each time the class meets.

    Enhanced prenatal services provided to “at-risk” pregnant women only.

    An at-risk determination is based on the results of a prenatal risk assessment (for example, ACOG’s Obstetric Medical history).


    Bill one unit for the entire class: 3 weeks of nutrition education = 1 unit.

    Counseling to assess and minimize problems hindering normal nutrition, and to improve the patient’s nutritional status.

    97802 – initial individual

    97803 – reassess individual

    97804 – group

  • • Physicians
  • • Licensed dieticians
  • • Licensed nutritionist
  • Bill 15 minute unit. MNT is reimbursed when a licensed dietician or nutritionist is under the supervision of a physician.

    Reassessment due to change in diagnosis, medical condition or treatment regimen requiring a second referral in the same year.

    G0270 – individual

    G0271 – group

  • • Physicians
  • • RNs
  • • Licensed dieticians
  • • Licensed nutritionist
  • Bill 15 minute unit. MNT is reimbursed when a licensed dietician or nutritionist is under the supervision of a physician.

    Diabetic Outpatient Self-management Training services (DSMT) including education about self-monitoring blood glucose, diet, exercise, and sliding scale insulin treatment for the patient who is insulin dependent.

    G0108 – individual

    G0109 – group

  • • Physicians
  • • RNs
  • • Licensed dieticians
  • • Licensed nutritionist
  • • A provider of dually eligible Medicare and MHCP members must be a “certified provider” according to the National Diabetes Advisory Board Standards.
  • Bill 30 minute unit.

    Initial training 10-hour limit per 12 months

    Additional training limited to 1 hour per year.

    Refer to the Community Health Worker (CHW) section of the manual for the MHCP covered education services provided by a CHW.

    Noncovered Services

    Services provided as part of a day treatment program, partial hospitalization, or other similar health care programs may not be billed as physician services provided in an educational or counseling setting.


    A physician order for educational or counseling services is required. Documentation of the member's participation, number of participants in the educational or counseling group, name and credentials of person who provided the service and topic content must be in the medical record or class record.


    Refer to the following billing guidelines:

  • • The cost of educational materials is included in the payment; no additional payment will be made for handouts, textbooks, or other materials.
  • • Physician extenders must modify their services using the appropriate modifier. (Refer to the Physician Extender section.)
  • Smoking Cessation Services

    MHCP covers smoking cessation education, counseling and products when they are ordered by a primary care provider and provided by an MHCP enrolled provider or Physician Extender. Smoking cessation products must be approved by the Food and Drug Administration (FDA) and covered under the Medicaid Drug Rebate Agreement. Prescriptions for smoking cessation products are subject to quantity limits. Prescriptions may not be dispensed for quantities in excess of the FDA-approved dose for any smoking cessation product.

    Medical Supplies Provided by a Physician Office

    Eligible Providers

    For the purpose of this chapter, the following are eligible providers: physicians, APRNs, PAs, and physician clinics.

    Payment Limitations

    Payment limitations for medical supplies provided by a physician’s office are the same as for medical supplies from durable medical equipment providers. Refer to MHCP Equipment and Supplies policy. Routine supplies are not paid separately. Supplies applied or used in the physician’s office or clinic in direct relationship to an illness or injury are generally considered incident to the service and are not separately billable to DHS.

    Noncovered Services

    Supplies sent home with the members are not covered by MHCP.

    The following is a list of routine physician office supplies that cannot be billed separately. This is not an all-inclusive list:

    Adhesive tape, all sizes

    IVP dyes

    Alcohol or peroxide, per pint

    Kerlix, Kling bandages

    Alcohol wipes



    Micropourous tape


    Needles, sterile

    Betadine, Iodine, Providine swabs or wipes


    Betadine, Phisohex, per pint

    Patient electrode pads

    Chux pads


    Cold packs

    Sanitary belt, napkins, tampons

    Cotton balls

    Silver nitrate stick

    Cotton tip application (sterile or non-sterile)

    Specimen collection



    Emesis basins

    Sterile saline, 30cc

    Enema kits

    Sterile water, 30cc

    Gauze pads, sterile or non-sterile

    Suction tubing


    Surgical drapes

    Gloves (latex, plastic, rubber, sterile, etc.)

    Suture removal tray


    Syringe (with or without needles)

    Hemostatic cellulose (for example, surgical, any size)

    Thermometer (any size)

    Casting Provided in a Physician Office

    If no surgery or manipulation is done, bill the appropriate E/M code and HCPCS casting supply code.

    If surgery or manipulation is done, bill the appropriate CPT surgery code and HCPCS casting supply code.

    If recasting is done, bill the appropriate CPT casting code and HCPCS casting supply code.

    Immunizations and Vaccinations

    MHCP covers vaccines, toxoids, and an administration fee.

    MHCP covers only the administration fee for vaccines and toxoids provided free by the Minnesota Vaccines for Children (MnVFC), available through the Minnesota Department of Health (MDH). Most routine childhood vaccines and some adult vaccines are available through the MnVFC program. Refer to the Immunizations & Vaccinations section of the Provider Manual.

    EKG Interpretations

    EKG interpretation services may be billed in addition to the E&M service. MHCP covers one physician interpretation for each EKG.

    Allergy Immunotherapy–Allergy Testing

    Antigen: The raw form of pollen, (venom, stinging insect, etc.) prior to refinement for administration to humans.

    Allergenic Extract: The refined injectable form of antigen either commercially prepared or refined in the physician's office under his or her supervision.

    Immunotherapy: The parenteral administration of allergenic extracts as antigens at periodic intervals, usually on an increasing dosage scale to a dosage which is maintained as maintenance therapy.

    Covered Services

    MHCP covers the following allergy immunotherapy or allergy testing services:

  • • Professional services to prepare raw antigen to a refined state that will become an allergenic extract
  • • Professional services to administer the allergenic extract
  • • Providing the injectable allergenic extract
  • • Physician ordered allergen immunotherapy and services performed by the physician or qualified personnel under the direction of a physician
  • • Professional services to monitor the member's injection site and observe for anaphylactic reaction
  • • Allergy testing when clinically significant symptoms exist and conservative therapy has failed.
  • • Provision of inhalants (a pharmaceutical). Refer to MHCP Pharmacy Services policy
  • Evaluation and Management services are eligible for separate payment on the same day as allergen immunotherapy only when a significant, separately identifiable service is performed.

    Noncovered Services


    Allergy testing includes the performance, evaluation, and reading of cutaneous and mucous membrane testing.

    The physician work of taking a history, performing the physical examination, deciding on the antigens to be used, interpretation of results, counseling and prescribing treatment should be reported using an Evaluation and Management code.

    The following allergy testing procedures are considered investigative, and therefore are not covered:

  • • Cytotoxic leukocyte testing (Brian's test)
  • • Leukocyte histamine release testing
  • • Provocation-neutralization testing (sublingual, subcutaneous, intradermal, or intracutaneous);
  • • Rebuck skin window test
  • • Passive transfer or P-K Test (Prausnitz-Kustner)
  • • Candidiasis hypersensitivity syndrome testing
  • • IgG level testing General volatile organic screening test (volatile aliphatic panel)
  • • ELISA/ACT immunotherapy (Serammune Physician Lab, Reston VA)
  • • Antigen Leukocyte Cellular Antibody Test (ALCAT)
  • Treatment

    The following allergy treatments are considered investigative and therefore are not covered:

  • • Provocation-neutralization treatment (sublingual, subcutaneous, intradermal or intracutaneous)
  • • Oral and sublingual immunotherapy (includes oral drops, solutions, oral capsules and tablets)
  • • Rinkel immunotherapy
  • • Autologous urine immunizations
  • • Clinical ecology urine immunizations
  • • Candidiasis hypersensitivity syndrome treatment and related services
  • • IV vitamin C therapy
  • • Enzyme potentiated desensitization
  • • Rhinophototherapy
  • • Poison Ivy/Poison Oak extracts for immunotherapy
  • • T.O.E. (Trichophyton, Oidiomycetes, and Epidermophyton immunotherapy for chronic otitis media)
  • Coverage Limitations

    Allergenic extracts may be administered with either one or multiple injections. Documentation in the medical record must support the number of injections administered.

    Preparation of raw antigen to allergenic extract: Only physicians who perform the refinement of raw antigens to allergenic extract may bill for this service. This service involves:

  • • Sterile preparation of an allergenic extract by titration, filters, etc.
  • • Checking the integrity of the extract by cultures or other qualitative methods
  • Neither purchasing refined antigens, measuring dosages nor adding diluent is considered "refining raw antigens."

    Adding diluent: As in any other medication administration, it is not a separately covered service. This service is an integral part of the professional services for providing an allergenic extract.

    Identifiable services not included in an office visit may be billed separately.

    Surgical Services

    Global Surgery Package

    The global surgical package period: Surgery and the time following surgery during which routine care by the physician is considered postoperative and included in the surgical fee. Office visits or other routine care related to the original surgery cannot be separately reported if the care occurs during the global period. MHCP covers medically necessary surgical services. MHCP reimbursement for all surgeries is based on a global surgery package, which follows Medicare global surgery guidelines and includes pre, post, and intraoperative work related to the surgical procedure. MHCP follows Medicare guidelines for the number of days in the global package. Preoperative physicals by a primary physician are not included in the global package. Evaluation of the need for surgery by the surgeon is also covered outside of the global surgical package.

    The visit identifying the need for surgery is not included in the global fee even if occurring on the preoperative day, or on the day of surgery. Use CPT modifier 57 to bill the E/M service for established patient visit or consultation the day before or the day of major surgery when the decision for surgery is made during the visit.

    E/M services provided on the same day as the procedure are generally not payable unless they are significant, separately identifiable, and billed with modifier 25.

    Postoperative care includes the following:

  • • Evaluation and management services
  • • Pain management
  • • Treatment of complications (for example, treatment of infection related to the surgery)
  • • Miscellaneous service: dressing changes and local incisional care; removal of operative pack, cutaneous sutures and staples, lines, wires, tubes, drains, casts and splints; insertion, irrigation and removal of urinary catheters, routine peripheral intravenous lines, nasogastric and rectal tubes; and changes/removal of tracheostomy tubes
  • Complications

    Complications requiring additional services from the surgeon that do not require a return trip to the operating room are included in the global payment. Surgical complications requiring a return to the operation room are not included in the global fee. Report complications requiring a return trip to the operating room with modifier 78 appended to the original procedure code.

    If further specifics are required, refer to the Medicare global surgery guidelines.


    MHCP follows Medicare's assistant-at-surgery guidelines. MHCP does not cover assistant-at-surgery services provided by surgical technicians, surgical assistants or RN first assists (RNFA).

    MD assistant surgeons must bill using modifier 80 or 82. Physician assistants, clinical nurse specialists and Advance Practice Registered Nurses (APRN) must use the modifier AS.


    Refer to the following billing guidelines for physician services:

  • • Use the 837P for physician services at surgery
  • • Refer to MHCP Tribal and Federal Indian Health Services policy for physician services provided in an IHS facility.
  • Bilateral Procedures – Modifier 50

    Use modifier 50 only when the exact same service or code is reported for each bilateral anatomical site, as follows:

  • • Report bilateral surgical procedure codes on one line appended with modifier 50
  • • Enter 1 unit on a line reported with modifier 50 (Example: 49500 – 50 – 1 unit)
  • • Do not use modifier 50 with procedure codes that are identified as bilateral or for codes that use the words one or both within the code description
  • Locum Tenens Physicians

    MHCP recognizes that physicians often retain a substitute physician to take over their professional practices while they are absent for reasons such as illness, vacations, continuing medical education and pregnancy.

    MHCP further recognizes locum tenens arrangements and pays the regular physician for the services provided by the substitute physician if the following are established:

  • • The regular physician is unavailable to provide services
  • • The member has arranged or seeks to receive the services from the regular physician
  • • The regular physician pays the locum tenens physician on a per diem or a fee-for-service basis
  • • The locum tenens physician does not provide services over a continuous period of longer than 60 days
  • Covered Services

    MHCP covers locum tenens physician services using Medicare guidelines. Locum tenens services provided by an APRN are covered. Current licensure is required.


    The regular physician must keep a record of each service provided by the locum tenens physician along with the substitute physician’s NPI.


    Refer to the following billing guidelines for locum tenens physicians:

  • • The member’s regular physician bills and receives payment for locum tenens physician covered services. Compensation paid by a medical group is considered paid by the physician.
  • • The locum tenens physician does not have to be identified on the claim or need to enroll with DHS.
  • • Bill with modifier Q6.
  • • Postoperative services performed by the locum tenens physician during the global surgery period do not require a Q6 modifier (if the services are only in connection with the surgery).
  • Physician Services in Teaching Settings

    MHCP follows Medicare guidelines for teaching physicians, interns and residents.

    Reciprocal Billing

    A member’s regular physician may submit a claim for a covered service that the regular physician arranges to be provided by a substitute physician on an occasional reciprocal basis if:

  • • The regular physician is unavailable to provide the visit services
  • • The member has arranged or seeks to receive services from the regular physician
  • • The substitute does not provide services over a continuous period of longer than 60 days
  • These requirements do not apply to the substitution arrangements among physicians in the same medical group where claims are submitted in the name of the group. On claims submitted by the group, the group physician who actually performed the services must be identified as the rendering physician.

    Covered Services

    MHCP covers substitute physician services using Medicare guidelines.


    The regular physician must keep a record of each service provided by the substitute physician along with the substitute physician’s UPIN.


    Refer to the following billing guidelines for reciprocal billing:

  • • The regular physician bills and receives payment for substitute physician covered services.
  • • The substitute physician does not have to be identified on the claim nor enrolled with DHS.
  • • Bill with modifier Q5.
  • • Postoperative services performed by the substitute physician during the global surgery period do not require a Q5 modifier (if the services are in connection with the surgery).
  • Telemedicine

    Telemedicine is defined as the delivery of health care services or consultations while the patient is at an originating site and the licensed health care provider is at a distant site.

    To be eligible for reimbursement, providers must self-attest that they meet all of the conditions of the MHCP telemedicine policy by completing the Provider Assurance Statement for Telemedicine (DHS-6806) (PDF).

    MHCP allows payment for the following services:

  • • Interactive audio and video telecommunications that permit real-time communication between the distant site physician or practitioner and the member. The services must be of sufficient audio and visual fidelity and clarity as to be functionally equivalent to a face-to-face encounter.
  • "Store and Forward": The asynchronous transmission of medical information to be reviewed at a later time by a physician or practitioner at the distant site. Medical information may include, but is not limited to, video clips, still images, x-rays, MRIs, EKGs, laboratory results, audio clips and text. The physician at the distant site reviews the case without the patient being present. Store and forward substitutes for an interactive encounter with the patient present; the patient is not present in real-time.
  • Originating site
    The originating site is the location of an eligible MHCP member at the time the service is being furnished via a telecommunication system. Authorized originating sites are listed below:

  • • Office of physician or practitioner
  • • Hospital (inpatient or outpatient)
  • • Critical access hospital (CAH)
  • • Rural health clinic (RHC) and Federally Qualified Health Center (FQHC)
  • • Hospital-based or CAH-based renal dialysis center (including satellites)
  • • Skilled nursing facility (SNF)
  • • End-stage renal disease (ESRD) facilities
  • • Community mental health center
  • • Dental clinic
  • • Residential settings, such as a group home, assisted living, shelter or temporary lodging
  • • Home (a licensed or certified health care provider may need to be present to facilitate the delivery of telemedicine services provided in a private home)
  • • School
  • • Correctional facility-based office
  • Eligible Providers

    The following provider types are eligible to provide telemedicine services:

  • • Physician
  • • Nurse practitioner
  • • Physician assistant
  • • Nurse midwife
  • • Clinical nurse specialist
  • • Registered dietitian or nutrition professional
  • • Dentist, dental hygienist, dental therapist, advanced dental therapist
  • • Mental health professional, when following the requirements and service limitations listed in the Telemedicine Delivery of Mental Health Services section.
  • • Pharmacist
  • • Certified genetic counselor
  • • Podiatrist
  • • Speech therapist
  • • Physical therapist
  • • Occupational therapist
  • • Audiolgist
  • • Public health nursing organization
  • Eligible Recipients

    Telemedicine coverage applies to MHCP members in fee-for-service programs.

    List of telemedicine services
    The CPT and HCPC codes that describe a telemedicine service are generally the same codes that describe an encounter when the health care provider and patient are at the same site. Examples of telemedicine services include but are not limitied to the following:

  • • Consultations
  • • Telehealth consults: emergency department or initial inpatient care
  • • Subsequent hospital care services with the limitation of one telemedicine visit every 30 days per eligible provider
  • • Subsequent nursing facility care services with the limitation of one telemedicine visit every 30 days
  • • End-stage renal disease services
  • • Individual and group medical nutrition therapy
  • • Individual and group diabetes self-management training with a minimum of one hour of in-person instruction to be furnished in the initial year training period to ensure effective injection training
  • • Smoking cessation
  • • Alcohol and substance abuse (other than tobacco) structured assessment and intervention services
  • Billing Telemedicine Services

    Submit claims for telemedicine services using the CPT or HCPC code that describes the services rendered. Include the GQ modifier when billing for services provided via asynchronous telecommunication.

    Beginning November 1, 2017, all claims for telemedicine services require place of service 02. Place of service 02 certifies that the service meets the telemedicine requirements. Beginning April 1, 2018, MHCP no longer requires use of the GT modifier on claims for telemedicine services. Modifier GQ is still required when billing for services via asynchronous telecommunication

    MHCP does not pay an originating site facility fee. Services billed on an outpatient claim with the GQ modifier will zero pay.

    When reporting a service with place of service 02, you are certifying that you are rendering services to a patient located in an eligible originating site via an interactive audio and visual telecommunications system.


    In addition to other requirements, refer to the following general telemedicine information:

  • • Out-of-state coverage policy applies to services provided via telemedicine
  • • Payment will be made for only one reading or interpretation of diagnostic tests such as x-rays, lab tests and diagnostic assessments
  • • Payment is not available to providers for sending materials to members, other providers or facilities
  • Two-Way Interactive Video Consultation in an Emergency Room (ER)

    Two-way interactive video consultation may be billed when no physician is in the ER and the nursing staff is caring for the patient at the originating site. The ER physician at the distant site bills the ER CPT codes with place of service 02. Nursing services at the originating site would be included in the ER facility code.

    If the ER physician requests the opinion or advice of a specialty physician at a "hub" site, the ER physician bills the ER CPT codes The consulting physician bills the consultation E/M code with place of service 02

    Coverage Limitations

    The following limitations apply:

  • • Payment for telemedicine services is limited to three per week for an MHCP member
  • • Payment is not available for sending materials to a member, other provider or facility
  • The following are not covered under telemedicine:

  • • Electronic connections that are not conducted over a secure encrypted website as specified by the Health Insurance Portability & Accountability Act of 1996 Privacy & Security rules (for example, Skype)
  • • Prescription renewals
  • • Scheduling a test or appointment
  • • Clarification of issues from a previous visit
  • • Reporting test results
  • • Non-clinical communication
  • • Communication via telephone, email or fax
  • • Day treatment
  • • Partial hospitalization programs
  • • Residential treatment services
  • • Case management face-to-face contact
  • Advanced Practice Registered Nurse (APRN) Services

    Advanced practice registered nurse (APRN): an individual licensed as an advanced practice regisitered nurse by the Minnesota Board of Nursing and certified by a national nurse certification organization acceptable to the Minnesota Board of Nursing to practice as a clinical nurse specialist, nurse anesthetist, nurse-midwife, or nurse practitioner. The practice of advanced practice registered nursing also includes accepting referrals from, consulting with, cooperating with, or referring to all other types of health care providers, including but not limited to physicians, chiropractors, podiatrists, and dentists, provided that the APRN and the other provider are practicing within their scopes of practice as defined in state law.

    Certified registered nurse anesthetist practice: The provision of anesthesia care and related services within the context of collaborative management, including selecting, obtaining, and administering drugs and therapeutic devices to facilitate diagnostic, therapeutic, and surgical procedures upon request, assignment, or referral by a patient's physician, dentist, or podiatrist.

    Clinical nurse specialist practice (CNS): The provision of patient care in a particular specialty or subspecialty of advanced practice registered nursing within the context of collaborative management, and includes: (1) diagnosing illness and disease; (2) providing nonpharmacologic treatment, including psychotherapy; (3) promoting wellness; and (4) preventing illness and disease. The certified clinical nurse specialist is certified for advanced practice registered nursing in a specific field of clinical nurse specialist practice.

    Nurse practitioner practice: Practice within the context of collaborative management: (1) diagnosing, directly managing, and preventing acute and chronic illness and disease; and (2) promoting wellness, including providing nonpharmacologic treatment. The certified nurse practitioner is certified for advanced registered nurse practice in a specific field of nurse practitioner practice.

    Certified nurse-midwife practice: The management of women's primary health care, focusing on pregnancy, childbirth, the postpartum period, care of the newborn, and the family planning and gynecological needs of women and includes diagnosing and providing nonpharmacologic treatment within a system that provides for consultation, collaborative management, and referral as indicated by the health status of patients.

    Eligible Providers

    DHS enrolls all APRNs listed previously in this manual section. A registered nurse certified (RN, C) is not eligible to enroll.

    An enrolled CRNA, CNS, or NP receives 90 percent of the physician rate. An enrolled certified nurse-midwife receives 100 percent of the physician rate.

    Refer to Physician Extender policy for APRNs who choose not to enroll.

    Covered Services

    Services performed by APRNs are covered if the services are covered through MHCP and the services are within the scope of practice for an APRN as described in Minnesota Statutes 148.171 through 148.285.


    Bill for APRN services using HCPCS and CPT codes and follow MHCP requirements for covered physician and professional services. Also note the following:

  • • For independently practicing enrolled APRNs, enter the APRN NPI as the billing provider.
  • • For organizations employing enrolled APRNs, enter the APRN NPI as the rendering provider.
  • Physician Assistants (PA)

    Physician assistant: A person who is qualified by academic or practical training or both to provide patient services as specified in Minnesota Statutes 147A under the supervision of a supervising physician.

    Eligible Providers

    Enrolled PAs receive 90 percent of the physician rate and should not use the physician extender modifier when billing MHCP. The services of those who choose not to enroll will be paid as physician extender services through the supervising physician at 65 percent of the physician rate and requires modifier U7 when billing MHCP.

    Covered Services

    Services performed by a PA are covered if the services are a covered physician service, are within the scope of practice for a PA as described in Minnesota Statutes 147A, and meet all required criteria by the appropriate certifying, regulatory, or licensing entities. MHCP enrolls PAs as treating providers not pay-to-providers.

    Supervision of PAs

    MHCP allows off-site or remote supervision of PAs, provided the terms of the physician and physician assistant agreement are being met and the physician and physician assistant are, or can be, easily in contact with one another by radio, telephone, or other communication device.

    Off-site or remote supervision does not apply to Rural Health Clinics (RHCs) and Federally Qualified Health Centers (FQHCs), which, under federal regulations, require that a physician is present for sufficient periods of time, at least once every two-week period (except in extraordinary circumstances, which must be documented in the records of the clinic) to provide the following:

  • • Medical direction
  • • Medical services
  • • Consultation
  • • Supervision
  • The physician must be available through direct telecommunication for consultation, assistance with medical emergencies, and patient referral.


    Bill PA services using the appropriate CPT and HCPCS codes. Follow these MHCP requirements for covered physician services:

  • • Enter the NPI as the rendering provider
  • • Use the clinic or group name and address and NPI as the billing provider
  • • Non-enrolled PAs use modifier U7
  • • Physician assistants use modifier AS when assisting-at-surgery.
  • Noncovered

    Clinical nurse specialists are not covered for assisting at surgery.

    Physician Extenders

    MHCP covers health services provided by a physician extender under the supervision of the physician. Physician extender services are not covered unless they replace or substitute for the physician service.

    Physician Extender: PA or APRN who chooses not to enroll with MHCP, genetic counselor, registered nurse, licensed acupuncturist or pharmacist who is in one of the following professional environments:

  • • Employed by the physician provider
  • • Employed by the same provider organization that employs the physician
  • • Supervised by a physician
  • Registered nurse (RN): A nurse licensed under and within the scope of Minnesota statutes.

    Genetic counselor or geneticist: A person who is board certified by the American Board of Genetic Counseling (ABGC).

    Supervision of Physician Extenders (Except PAs)

    The process of control and direction by which the physician accepts full professional responsibility for the supervisee, instructs the supervisee in their work, and oversees or directs the work of the supervisee. The process must meet the following conditions:

  • • The physician must be present, available, and on the premises more than 50 percent of the time when the supervisee is providing health services.
  • • The diagnosis must be made by or reviewed, approved, and signed by the physician.
  • • The supervisee may develop the plan of care for a condition other than an emergency, but it must be reviewed, approved, and signed by the physician before care begins.
  • • The supervisee may carry out the treatment, but the physician must review and countersign the record of a treatment within five working days after the treatment.
  • Role of Physician Extenders in Long-Term Care (LTC) Facilities

    Physician services provided by a physician extender in an LTC facility must be provided under the direction of a physician who is an enrolled MHCP provider. This means the physician has authorized and is personally responsible for the physician services performed by the physician extender and has reviewed and signed the record of the service no more than five days after the service was performed.

    Physician extenders may provide any service within their scope of practice and as delegated and directed by a physician.

    As permitted by Minnesota rules, licensure, and facility policy, APRNs or PAs who are not enrolled with MHCP and are not employees of the facility (but are working in collaboration with a physician) may provide the following physician services in an LTC facility:

  • • Develop a written plan of care as required by federal regulation
  • • Conduct a periodic visit as required by federal regulations. At the option of the physician, and in accordance with facility policy, required visits (after the initial visit) may alternate between personal visits by the physician and visits by a physician assistant or APRN
  • Genetic Counselor or Geneticist

    A genetic counselor or geneticist may conduct a consultation to render an opinion or advice. The following conditions apply:

  • • The genetic counselor or geneticist may only initiate diagnostic or therapeutic services at the request of the attending physician.
  • • Follow-up consultations may be performed if it is medically necessary to reevaluate a member for whom an opinion previously has been rendered.
  • • Consultations provided by a genetic counselor may be billed using 96040 or S0265.
  • Use of Modifiers

    Do not use modifier U7 for a minimal service E/M code, as defined in CPT, because it represents a level of service supervised by a physician but does not necessarily require his/her immediate ongoing presence.

    Use modifier U7 with all other E/M codes when the physician extender provides services, unless the physician is directly involved more than 50 percent of the time that is required to provide the health service.

    Do not use modifier U7 for physician extender services associated with the enhanced prenatal care services for "at risk" pregnancies. Refer to the Family Planning and Obstetrics & Gynecology Services sections of MHCP Reproductive Health – Obstetrics and Gynecology policy.

    Billing Physician Extender Services

    Include the following for these services:

  • • Enter the NPI of the physician who supervised the service as the rendering provider
  • • Enter the appropriate procedure code for the level of care provided
  • • Enter the appropriate modifier
  • Noncovered Services

    Services provided by personnel such as office and clerical workers, lab workers, assistants (for example, surgical and ophthalmic) and aides are not considered physician extender services. These services are considered part of a physician's overhead and cannot be billed separately.

    Outpatient Hospital Services

    Billing Requirements

    Outpatient Hospital Clinic: For clinic services provided in an outpatient hospital setting, physicians must bill the appropriate HCPCS or CPT code and use place of service 22. Failure to identify the place of service as outpatient hospital services may be considered fraudulent or abusive billing, subject to monetary recovery or program sanctions.

    MHCP has designated specific HCPCS codes in which the individual code may be separated into professional and facility components. Providers billing and delivering professional services in outpatient hospitals will be paid for the professional component. The outpatient hospital will receive the facility component.

    Provider-Based Status for Clinics

    Provider-based clinics are hospital owned clinics authorized with provider-based status according to federal regulations.

    Off-Campus Provider-Based Hospital Department Services

    Bill outpatient services furnished at an off-campus provider-based department using:

  • • 837P professional claim must include place of service 19 (section 20.6.11)
  • • 837I facility claim must include modifier PO
  • Beginning Jan. 1, 2017, off-campus provider based hospital department services must identify non-excepted service lines on their claims using modifier PN (Non-excepted off-campus service). See January 2017 Update of the Hospital Outpatient Prospective Payment System (PDF).


    Professional component
    For this part of outpatient clinic services provided in a hospital owned clinic, bill professional services in the MN–ITS 837P claim format using the appropriate HCPCS or CPT code; use place of service 22. Failure to identify the place of service as outpatient hospital may be considered fraudulent or abusive billing, and is subject to monetary recovery or program sanctions.

    Facility Fee

    For this part of outpatient clinic services performed in a hospital-owned clinic, bill facility fees in the MN–ITS 837I claim format using the appropriate revenue and HCPCS or CPT coding.

    Urgent care in emergency department: Nonemergency care provided in an emergency department is urgent care and must be billed as urgent care services.

    Emergency Department: Emergent care provided in an emergency department is emergency care and must be billed as emergency services. If, in a physician's professional opinion, emergency treatment for the patient's condition cannot be provided in the emergency department, the physician may seek inpatient admission certification for the patient and bill inpatient admission services. Refer to MHCP Inpatient Hospital Authorization policy.

    Hospital Physician Services

    Eligible Providers

    Physicians, APRNs, and PAs under the supervision of the physician under the physician and physician assistant agreement and in accordance with the hospital by-laws, may provide inpatient hospital services.


    Bill physician services provided in an inpatient hospital setting using the 837P: MN–ITS Interactive (837P) Professional. Enter the dates of hospital admission and discharge in Additional Dates in the Claim Information tab. If the member has not been discharged, do not enter a Discharge Date in the Additional Dates field.

    Urgent Care Clinic Services

    The following apply for urgent care clinic services:

  • • Urgent care clinic services are covered for MHCP members in an outpatient hospital setting.
  • • Urgent care services in a free standing facility (including physician clinics) must be billed as an office visit.
  • • No facility fee is paid in a physician's clinic for after hours care.
  • Authorization Policy

    Authorization is required for some MHCP covered services including all investigative procedures and procedures that may be considered cosmetic. Refer to the PA Indicator column on the MHCP Fee Schedule for procedures that always or sometimes require authorization.

    Submit authorization requests to the Medical Review Agent. Authorizations are reviewed on a case-by-case basis.

    The medical review agent uses nationally recognized criteria to determine medical necessity. It is the responsibility of the provider requesting authorization to submit sufficient documentation to establish that coverage standards have been met. Certain situations may require a unique piece of information that will aid the medical review agent in the decision-making process. Since it is impossible to identify all of the diverse information necessary for each case, the medical review agent will request additional information as the situation requires.

    Investigative procedures: A health service that has progressed to limited human application and trial, lacks wide recognition as a proven and effective procedure in clinical medicine as determined by the National Blue Cross and Blue Shield Association Medical Advisory Committee, and used by Blue Cross and Blue Shield of Minnesota in the administration of their program using the following criteria:

  • • The technology must have final approval from the appropriate government regulatory bodies.
  • • The scientific evidence must permit conclusions concerning the effect of the technology on health outcomes.
  • • The technology must improve the net health outcome.
  • • The technology must be as beneficial as any established alternatives.
  • • Improvement must be attainable outside the investigational settings.
  • • A drug or device that the United States Food and Drug Administration (FDA) has not yet declared safe and effective for the use prescribed. For purposes of this definition, drugs and devices are those identified in the Food and Drug Act.
  • Plastic and Reconstructive Surgery

    If staged plastic and reconstructive surgery is being proposed for correction of a congenital anomaly, the complete plan for future surgeries must be submitted with the first authorization.

    Botulinum Toxin

    Review Authorization Criteria for use of Botulinum toxin, Type A or Type B.

    Male Circumcision

    MHCP covers male circumcision only when the procedure is medically necessary (in the opinion of the attending physician, a pathologic condition exists where circumcision is required), and it is approved by authorization. Refer to MHCP Authorization policy for prior authorization process.


    Refer to the Reproductive Health Hysterectomy section and to the MHCP Authorization policy for prior authorization process.

    Transplant Services

    Covered Services

    MHCP coverage for organ and tissue transplant procedures is limited to those procedures covered by the Medicare program or approved by the DHS consulting contractor.

    MHCP policy includes the following: transplant types:

  • • Autologous pancreatic islet cell transplant (after pancreatectomy)
  • • Kidney
  • • Liver
  • • Heart
  • • Lung
  • • Cornea
  • • Heart-lung
  • • Pancreas
  • • Pancreas-kidney
  • • Intestine
  • • Intestine-liver
  • • Stem Cell
  • Transplant coverage includes: preoperative evaluation, recipient and donor surgery, follow-up care for the recipient and live donor, and retrieval of organs, tissues. All transplant related services are billed under the member’s ID number. Refer to the Transplant Authorization Code list.

    Eligible Providers

    All organ transplants provided to Medicaid recipients must be performed in a Medicare certified transplant facility.

    All transplant procedures must comply with all applicable laws, rules, and regulations governing all three of the following:

  • (1) Coverage by the Medicare program
  • (2) Federal financial participation by the Medicaid program
  • (3) Coverage by the MA program. All transplants performed out of state must have prior authorization.
  • It is the responsibility of the transplant center to submit their certification documentation to Provider Eligibility and Compliance.

    Eligible Recipients

    Transplant coverage applies to MA and MinnesotaCare recipients. Refer MinnesotaCare members to their county human services agency to apply for MA. If a member is not eligible for MA, any maximum benefit limits applicable to the MinnesotaCare member will apply. Refer to the MinnesotaCare section of the MHCP Health Care Programs and Services policy for further information.

    Individuals enrolled in Emergency Medical Assistance (EMA) are eligible for kidney transplants when the transplant is approved through an EMA Care Plan Certification. EMA does not cover any other organ transplants.


    Authorization is required for the following transplant procedures: stem cell, heart-lung, lung, pancreas, pancreas-kidney, liver, intestine, intestine-liver, and autologous pancreatic islet cell transplant (after pancreatectomy).

    Transplant prior authorization request must be submitted to Authorization Medical Review Agent by the physician rather than the transplant facility. The transplant facility may request documentation of the prior authorization approval from the physician’s office or by calling the MHCP Provider Call Center at 651-431-2700 or 800-366-5411.

    The medical report must include the following information:

  • • Diagnosis, including ICD diagnosis code
  • • Proposed treatment
  • • Sufficient, pertinent information
  • Obtain authorization before rendering the service for a transplant that is to be performed out of state. Refer to the instructions in the MHCP Authorization policy for out-of-state services. If the procedure will be performed in an out-of-state hospital, the prior authorization request must include evidence that the hospital meets the requirements of Medicare, UNOS, and Foundation for the Accreditation of Cellular Therapy (FACT).

    Heart Transplant

    Heart transplants are covered when performed in a facility on the Medicare list of approved heart transplant centers.

    Heart-Lung Transplant Coverage

    Heart-lung transplants for people with primary pulmonary hypertension are covered when performed in a Medicare certified transplant facility. Heart-lung transplants require authorization (except for those performed on members with Medicare coverage).

    Lung Transplant Coverage

    Lung transplants using cadaveric donors and lung lobe transplants from living donors are covered when performed in a Medicare certified transplant facilityt. All lung transplants require authorization (except for those performed on members with Medicare coverage).

    Kidney Transplant Coverage

    Kidney transplants must be performed in a hospital that is a participating provider of the Medicare program. If performed in an out-of-state facility, kidney transplants require authorization prior to the service being rendered.

    Pancreas and Pancreas-Kidney Transplant Coverage

    Pancreas transplants for uremic diabetic members of kidney transplants and people with hypoglycemic unawareness, are covered when performed in a Medicare certified transplant facility. All pancreas and pancreas-kidney transplants require authorization.

    Liver Transplant Coverage

    Liver transplants in children (under age 18) with extrahepatic biliary atresia, or other forms of end-stage liver disease are covered.

    Liver transplants for children with a malignancy extending beyond the margins of the liver, or those with persistent viremia are not covered.

    Liver transplants using live donors are covered.

    Liver transplants are covered for adults with one of the following conditions:

  • • Primary biliary cirrhosis
  • • Primary sclerosing cholangitis
  • • Post necrotic cirrhosis, hepatitis B surface antigen negative
  • • Alpha-1 antitrypsin deficiency disease
  • • Wilson's disease or primary hemochromatosis
  • • Alcoholic cirrhosis
  • • Any other end-stage liver disease other than hepatitis B
  • • Hepatocellular carcinoma
  • • End-stage liver disease with the diagnosis of hepatitis B
  • In cases involving alcoholic cirrhosis, the following conditions apply:

  • • The facility must state its criteria for the period of abstinence required prior to surgery.
  • • Documentation must show how the patient meets that criteria.
  • • Documentation must show evidence of social support to assure assistance in alcohol rehabilitation and immunosuppressive therapy following the surgery.
  • Liver transplants require authorization, including those covered by other third-party payers. Transplants for members with Medicare coverage do not require authorization.

    Intestine Transplant Coverage

    Intestine transplants for a patient with a diagnosis of short bowel syndrome, parenterally dependent and experiencing life-threatening or potentially life-threatening complications due to the original disease or to complications of total parenteral nutrition (TPN), are covered. Intestine transplants must be performed in a Medicare certified transplant facility . All intestine transplants require authorization.

    Intestine-liver Transplant Coverage

    Intestine-liver transplants are covered for people who develop liver disease secondary to TPN treatment. Intestine transplants must be performed in a Medicare certified transplant facility. Intestine-liver transplants require authorization.

    Stem Cell Transplant Coverage

    Stem cell or bone marrow transplant centers must meet the standards established by the Foundation for the Accreditation of Hematopoietic Cell Therapy.

    Transplant centers must be participating providers of the Medicare program, meet Foundation for the Accreditation of Cellular Therapy (FACT) criteria for stem cell transplants, and be located in Minnesota or contiguous counties to receive payment for stem cell transplants.

    All stem cell transplants require authorization.

    Stem cell transplantation: A procedure where stem cells are obtained from a donor's or recipient's bone marrow or peripheral blood, and prepared for intravenous infusion. DHS follows Medicare guidelines and is replacing references to bone marrow transplantation with stem cell transplantation.

    Allogenic stem cell transplants are covered for the treatment of leukemia or aplastic anemia when it is reasonable and necessary for the individual patient to receive this therapy.

    Autologous Pancreatic Islet Cell Transplant (after pancreatectomy) Coverage

    Autologous pancreatic islet cell transplant (after pancreatectomy) coverage is not to be confused with pancreatic islet cell allograft transplant (noncovered) for a member with a diagnosis of Type I diabetes.

    Pancreatectomy is covered for a member with a diagnosis of chronic pancreatitis with intractable pain. With pancreatectomy, the pain is relieved, but without the autologous pancreas islet cell transplant, the result is insulin dependent diabetes mellitus. The autologous pancreatic islet cell transplant has the potential to prevent diabetes or make the diabetes mild. This procedure is covered when performed in a Minnesota facility that meets UNOS criteria. All autologous pancreatic islet cell transplants (after pancreatectomy) require authorization.

    Billing Transplants

    Include the cost of organ, tissue, and stem cell procurement on the inpatient hospital claim. The hospital stay for the donor is included in the DRG payment for the donee (MHCP member). Bill all charges for the donor using the donee's member ID number.

    Other Payers

    Liable third-party coverage monies must be used to the fullest extent before MHCP payment will be made for a transplant. If a third-party payer denies payment, the denial and documentation of efforts to secure payment must be submitted with the claim. If appeals are available through the insurer, DHS will ask the member to pursue these appeals. Providers must obtain authorization for transplants that require authorization even though private insurance may pay a portion of the charges.

    Sleep Testing

    Sleep studies include selected diagnostic and therapeutic services provided for sleep-related disorders. In-lab sleep studies or polysomnograms are covered by MHCP. Document medical necessity in the member’s medical record.

    Eligible Providers

    A sleep specialist must administer an in-lab sleep study or polysomnogram.

    Eligible Recipients

    MHCP will cover sleep studies for member with the following conditions:

  • • Diagnosis of obstructive sleep apnea and other sleep-related breathing disorders
  • • Neuromuscular disorders with sleep-related symptoms that are not adequately diagnosed through:
  • • Sleep history
  • • Assessment of sleep hygiene
  • • Review of sleep diaries
  • • Suspected narcolepsy
  • • Parasomnias (cases of dangerous, violent or injurious behavior, seizure cases with inconclusive EEG, and atypical parasomnias)
  • • Periodic limb movement disorder (PLMD)
  • Covered Services

    Sleep testing must be:

  • • Conducted in a sleep laboratory
  • • Attended by a trained sleep specialist
  • • Conducted following a careful exam and history that includes a standardized questionnaire
  • Attended in-home (portable) studies will be covered only in cases where the patient is unable to undergo an in-lab study due to circumstances such as:

  • • Nonambulation
  • • Severe and persistent mental illness
  • Noncovered Services

    MHCP will not cover unattended home sleep studies because they are considered investigative and not medically necessary.


    Bill sleep testing services in the MN–ITS 837P claim format using the appropriate HCPCS and CPT code(s).

    Medical Nutritional Therapy (MNT)

    Medical Nutritional Therapy (MNT) is a preventive health service designed to assess and minimize the problems hindering normal nutrition, and to improve the patient's nutritional status. MNT services may be provided in a physician's office, clinic, or outpatient hospital setting. Medical necessity must be documented in the member’s medical record.

    Licensed dieticians and licensed nutritionists enrolled with MHCP may provide MNT & Diabetic Outpatient Self-Management (DSMT) services for MHCP fee-for-service (FFS) members when prescribed or referred by a physician.

    The medical professionals who may prescribe or refer members for MNT & DSMT services include:

  • • Physicians
  • • Advanced practice registered nurses
  • • Clinical nurse specialist
  • • Nurse practitioner
  • • Nurse midwife
  • • Physician assistant
  • Providers should contact the managed care organization (MCO) provider services call center about coverage before providing services to MHCP members enrolled in an MCO.

    Eligible Providers

  • • Licensed detician
  • • Licensed nutritionist
  • Eligible Recipients

    MA and MinnesotaCare members are eligible for MNT.

    MNT is a preventive health service and is not a covered service under the following programs:

  • • Emergency Medical Assistance (EMA)
  • • MinnesotaCare limited benefit (MLB)
  • Covered Services

    Covered services include the following:

  • • Evaluation
  • • Follow-up
  • • Group counseling prescribed by a physician
  • Weight Loss Services

    MHCP covers physician visits, medical nutritional therapy, mental health services*, and laboratory work provided for weight management. Services must be billed by enrolled providers on a component basis with current CPT codes.

    If an MHCP member elects to participate in a weight loss program, the member may be billed for components of the program that are not covered, as long as the member is informed of charges in advance.

    *Authorization may be required for mental health services. Refer to MHCP Mental Health Service policy for requirements.

    MHCP does not cover the following weight loss services:

  • • Weight loss services on a program basis
  • • Nutritional supplements or foods for the purpose of weight reduction
  • • Exercise classes
  • • Health club memberships
  • • Instructional materials and books
  • • Motivational classes
  • • Counseling or weight loss services provided by persons who are not MHCP providers
  • • Counseling that is part of the physician's covered services and for which payment has already been made
  • • Nutritional counseling for diabetic education when it is part of a diabetic education program (see Diabetic Education section)
  • Billing

    MHCP reimburses dietician or nutritionist services only when prescribed by a physician and provided in an office or outpatient setting. MNT and DSMT are separate benefits and may not be billed for the same date of service. Payment for medical nutritional therapy is limited to the following codes:

  • 97802: Initial assessment and intervention, individual, face-to-face with the patient, each 15 minutes. This code is to be used only once per year, for initial assessment of a new patient
  • 97803: Reassessment and intervention, individual, face-to-face with the patient, each 15 minutes. Use this code for all individual reassessments and all interventions after the initial visit when there is a change in the patient's nutritional status
  • 97804: Group (2 or more), each 30 minutes
  • Note: For medical nutrition therapy assessment or intervention performed by a physician see Evaluation and Management or Preventive Medicine service codes G0270: Reassessment and subsequent intervention following second referral in the same year due to change in diagnosis, medical condition or treatment regimen, individual, face-to-face with patient, each 15 minutes
  • G0271: Reassessment and subsequent intervention following second referral in the same year for change in diagnosis, medical conditions or treatment regimen, group (2 or more), each 15 minutes
  • Billing information for MNT providers

    MHCP Enrolled Providers


    Licensed dieticians or nutritionists in private practice

    Use your NPI as the billing provider and the rendering provider.

    Licensed dieticians or nutritionists who contract with a private agency to provider services

    To directly receive payment: Use your NPI as the billing provider and the rendering provider.

    If the private agency receives payment: It must be an enrolled MHCP Provider. Use the private agency’s NPI as the billing provider, and the dieticians or nutritionists NPI as the rendering provider.

    Licensed dieticians or nutritionists employed by hospitals, public health or community health clinic, clinic, or an individual physician

    Use the hospital, public or community health clinic, clinic, or individual physicians NPI as the billing provider, and the dietician’s or nutritionist’s NPI as the rendering provider.

    If services are rendered somewhere other than the listed billing provider address or in the member’s home, include the Service Facility Location name, address NPI #, or the qualifier 1D, followed by their 9-digit MHCP ID.

    National Diabetes Prevention Program (DPP)

    The National Diabetes Prevention Program (DPP) is an evidence-based lifestyle change program designed by the Centers for Disease Control and Prevention (CDC). The National DPP is a year-long program intended for adults at high risk for developing type 2 diabetes, DPP includes lifestyle health coaching through weekly classes that teach skills needed to lose weight, become more physically active and manage stress.

    The program must include an initial six-month phase during which a minimum of 16 sessions are offered over a period lasting at least 16 weeks and not more than 26 weeks. Each session must be at least one hour long.

    The second six-month phase must consist of at least one session each month. Each session must be at least one hour long. Additional sessions may be delivered if participants require additional support.

    DPP may be provided in a clinic, outpatient hospital or community setting. The covered code was effective January 1, 2016.

    Organizations can use the curriculum available on the CDC website. If your organization chooses to use a different curriculum, send the curriculum to the Diabetes Prevention Recognitions Program ( DPRP) to be evaluated to ensure that it is consistent with the current evidence base.

    Eligible Providers

    An organization must have full or pending CDC recognition as a Diabetes Prevention Recognition Program (DPRP) to provide the National DPP to MHCP members. The CDC determines eligibility.

    CDC-recognized organizations are responsible for training coaches to the 2012 National DPP curriculum or the Prevent T2 curriculum. DPP coaches may have credentials (for example, RD, RN), but credentials are not required. Coaches do not need to enroll with MHCP.

    Eligible Recipients

    Members must meet all of the following requirements:

  • • Be 18 years of age or older
  • • Have a body mass index of greater than or equal to 24 (greater than or equal to 22 if Asian)
  • • Have no previous diagnosis of type 1 or type 2 diabetes
  • • Have at least one of the following test results within the past year:
  • • Hemoglobin A1C: 5.7%–6.4%
  • • Fasting plasma glucose: 100–125
  • • Two-hour plasma glucose (after 75 gm glucose lead): 140–199 mg/dl
  • • Be previously diagnosed with gestational diabetes
  • Billing

  • • Use only code 0403T for DPP (preventive behavior change, intensive program of prevention of diabetes using a standardized prevention program curriculum, provided to individuals in a group setting, minimum 60 minutes, per day)(no current benefit limits)
  • • Do not bill nutritional counseling, evaluation and management codes or other procedure codes when billing for DPP.
  • Diabetic Self-Management Training (DSMT) Services

    DSMT is a preventative outpatient health service for people diagnosed with diabetes. An outpatient diabetes self-management and training program includes education about self-monitoring of blood glucose, diet and exercise, and insulin treatment plan developed specifically for the patient who is insulin-dependent, and motivates patients to use the skills for successful self-management of diabetes. Diabetic outpatient self-management training services minimize the occurrence of disease and disability through instructions on maintaining health and well-being of the patient.

    Eligible Providers

    The following are eligible to provide diabetic self-management services:

  • • Physician or RN: may provide diabetic care instructions.
  • • Physician, licensed dietician or licensed nutritionist: may provide nutritional counseling. Referrals should be made to licensed dieticians or licensed nutritionist for in-depth nutritional counseling.
  • • Licensed registered nurses: may provide nutritional counseling only to the extent that their scope of practice and education experience allow.
  • A provider of services for dually eligible MHCP members must be a "certified provider" according to Medicare's definition. Certified providers for Medicare's purposes must meet the National Diabetes Advisory Board Standards.

    Eligible Recipients

    MA and MinnesotaCare members are eligible for diabetic self-management services.

    DSMT is a preventive health service and is not a covered service under the following programs:

  • • Emergency Medical Assistance (EMA)
  • • MinnesotaCare limited benefit (MLB)
  • Covered Services

    A physician or NPP must order all diabetic DSMT services. DSMT services include the following:

  • • Diabetes overview
  • • Type of diabetes
  • • Blood glucose testing
  • • Blood glucose self-monitoring education
  • • Insulin treatment plan for patients who are insulin dependent
  • • Foot, skin, and dental care
  • • Diabetes management
  • • Stress and psychosocial adjustment
  • • Family involvement and social support
  • • Medications; monitoring and use of results
  • • Prevention, detection, and treatment of chronic complications
  • • Prevention and treatment of low and high blood sugar
  • • Benefits, risks, and management options for improving glucose control
  • • Nutritional counseling
  • • Meal planning, carbohydrate counting, label reading
  • • Dietary fat and cholesterol modification
  • • Role of fiber on blood sugar and cholesterol control
  • • Exercise and activity
  • • Relationships between nutrition, exercise, medication, and blood glucose levels
  • • Behavior change strategies, goal setting, risk factor reduction, and problem solving
  • • Other
  • • Preconception care, pregnancy, and gestational diabetes
  • • Use of health care system and community resources
  • Billing

    Do not bill nutritional counseling, office visit (E/M) codes, facility codes, or other procedure codes with DSMT codes. Use one of the following DSMT codes when billing, as appropriate:

  • G0108: Diabetic outpatient self-management training services; individual session; 1 unit equals 30 minutes of training.
  • G0109: Diabetic outpatient self-management training services; group session; 1 unit equals 30 minutes of training.
  • Bill one unit per each 30 minutes of DSMT services, with a maximum of not more than 10 hours within a continuous 12-month period for each member. After the initial training, additional DSMT services are limited to one session (group or individual) no longer than two hours in length per year.

    Nutritional Products

    Nutritional products commercially formulated substances that provide nourishment, and affect the nutritive and metabolic processes of the body. Nutritional products are covered by MHCP.


    A parenteral nutritional product must be dispensed as a pharmacy service as prescribed by a physician. Refer to MHCP Pharmacy Services policy.

    An enteral nutritional product may be supplied by a pharmacy, home health agency, or medical supply provider with a written physician's order.

    Covered Nutritional Services

    MHCP covers enteral nutritional products when the member’s diagnosis can be linked to the need for a nutritional product. Refer to MHCP Equipment and Supplies policy, for additional information.


    Eligible Providers

    Podiatrists who practice as defined in Minnesota Statutes 153 and physicians are eligible for payment for podiatry services.

    Covered Services

    The following are covered services for podiatry:

  • • Debridement or reduction of pathological toenails, and of infected or eczematized corns and calluses
  • • Avulsion of nail plate
  • • Evacuation of subungual hematoma
  • • Excision of nail and nail bed
  • • Reconstruction of nail bed
  • • Other non-routine foot care
  • Payment Limitations for Debridement or Reduction of Nails, Corns and Calluses

    Payment for debridement or reduction of non-pathological toenails, and of non-infected or non-eczematized corns or calluses is limited to the services defined in MN Rule 9505.0350 Subp 3. These services are considered routine foot care, unless the patient has a systemic condition that may require the expertise of a professional.

    Although not intended as a comprehensive list, the following metabolic, neurologic, and peripheral vascular diseases most commonly represent the underlying conditions that may justify coverage for routine foot care:

  • • Diabetes mellitus
  • • Arteriosclerosis obliterans
  • • Buerger's Disease (thromboangiitis obliterans)
  • • Chronic thrombophlebitis
  • • Peripheral neuropathies
  • • Ulcerations or abscesses complicated by diabetis or vascular insufficiency
  • • Medical conditions which prevents self-care of these services
  • Noncovered Services

    The following list includes, but is not limited to, podiatry services that are not covered by MHCP:

  • • Surgical assistant services (differing from assisting surgeons)
  • • Local anesthetics that are billed as a separate procedure
  • • Operating room facility charges
  • • Routine foot care:
  • • Foot hygiene (cleaning and soaking the feet to maintain a clean condition)
  • • Cutting or removal of corns and calluses (except as noted above)
  • • Trimming, cutting, clipping or debriding of nails (except as noted above)
  • • Use of skin creams to maintain skin toner
  • • Any other service performed in the absence of localized illness, injury or symptoms involving the foot
  • • Services not covered by Medicare, or services denied by Medicare:
  • • Subluxation of the foot
  • • Treatment of flat feet
  • • Routine foot care
  • • Stock orthopedic shoes, except when attached to a leg brace
  • • Routine supplies provided in the office. Refer to List of Routine Supplies section.
  • Coverage Limitations

    The following coverage limitations apply to podiatry services:

  • • When a physician or podiatrist provides services to long-term care (LTC) facility residents all of the following are required:
  • • The referral must result from the resident, an RN, or LPN employed by the facility, the resident’s family, guardian, or attending physician
  • • The LTC facility must document the referral in the medical record
  • • LTC facilities are responsible for routine foot care
  • • Coverage for the debridement and reduction of nails, corns, and calluses are limited to once every 60 days
  • • For established patients, a podiatry visit charge must not be billed on the same day as the date for services described for debridement or reduction of nails, corns, and calluses
  • • The provider may bill the avulsion and excision codes only once per nail
  • Billing

    For more information about billing for podiatry services, see the following:

  • • Refer to the Billing Policy chapter for podiatry services billing instructions.
  • • National foot care modifiers are required on all routine foot care services, regardless of specialty
  • • Refer to the Laboratory/Pathology, Radiology and Diagnostic Services section for billing instructions
  • Refer to the RSC-TCM section for Relocation Services Coordination and Targeted Case Management information.

    Legal References

    Minnesota Rules 9505.0325 (nutritional products)
    Minnesota Rules 9505.0330
    (outpatient hospital)
    Minnesota Rules 9505.0345
    ; 9505.0355 (general information)
    Minnesota Rules 9505.0350
    Minnesota Rules 9505.5010
    (prior authorization)
    Minnesota Rules 9505.5035
    (second medical opinion)

    Minnesota Statutes 147A.01
    (physician assistant)
    Minnesota Statutes 148.624
    Subd 1 (Licensed Dietician)
    Minnesota Statutes 148.624
    Subd. 2.(Licensed Nutritionist)
    Minnesota Statutes 153
    (podiatry licensing)
    Minnesota Statutes 256B.0625
    , subd.3; subd.4 (general information)
    Minnesota Statutes 256B.0625
    , subd.4a (second medical opinion)
    Minnesota Statutes 256B.0625
    , subd.25 (physician assistant standards)
    Minnesota Statutes 256B.0625
    , subd.27; 256B.0629 (organ transplants)
    Minnesota Statutes 256B.0625
    , subd.28 (nurse practitioner)
    Minnesota Statutes 256B.0625
    , subd. 28a
    Minnesota Statutes 256B.0625
    , subd.32 (nutritional products)
    Minnesota Statutes 256D.03
    , subd.7 (second medical opinion)

    42 CFR 413.65
    (provider-based clinics)
    42 CFR 440.130
    (c) (preventive services definition)
    42 CFR 440.166
    (nurse practitioners services)
    42 CFR 440.20
    (outpatient hospital and rural health services)
    42 CFR 440.50
    (services: general provisions)

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