Modifier 26 indicates that only the physician professional component (interpretation and written report) is being billed, rather than technical equipment or technician costs.
What is Modifier 26? Modifier 26 is a medical billing modifier appended to CPT or HCPCS codes to indicate Professional Component. Under official CMS and AMA coding rules, it is applied when modifier 26 indicates that only the physician professional component (interpretation and written report) is being billed, rather than technical equipment or technician costs.
Radiologist reading a chest X-ray taken on hospital equipment (71046-26).
Do not bill if the provider owns the equipment and employs the technician in their private office (bill global code instead).
Reported when a physician interprets diagnostic testing performed in a hospital facility or independent testing center.
National Correct Coding Initiative (NCCI) Policy: Distinguishes physician professional fees from hospital facility Part A fees. When two procedure codes form a Column 1/Column 2 edit pair with modifier indicator 1, appending Modifier 26 signals that the criteria for distinct, separate, or unbundled service delivery have been fully met.
To defend against Medicare CERT and commercial payer audits, ensure the patient medical record contains:
Depending on the code and payer contract, Modifier 26 either adjusts the payment percentage or enables secondary codes to be reimbursed without being bundled into the primary procedure.
Yes, if the clinical encounter satisfies telehealth criteria and the specific conditions for Modifier 26 are documented in the virtual medical record.