CPT Codes

99203 CPT Code Explained: Billing, Documentation, and Reimbursement Guide 

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Understanding CPT codes is essential for healthcare providers, coders, and billing staff. Among the many CPT codes, 99203 is one of the most commonly used for new patient office visits. In this guide, we’ll explain everything you need to know about the 99203 CPT code, including documentation requirements, billing, insurance considerations, updates in 2025, and how Hello MDs will help you in this regard.

What is CPT Code 99203?

CPT code 99203 belongs to the category of Evaluation and Management (E/M) services. Specifically, it is used for new patient outpatient office visits. According to the American Medical Association (AMA) and the Centers for Medicare & Medicaid Services, a new patient is defined as someone who has not received professional services from the physician or another physician of the same specialty in the same group within the past three years.

This type of code represents a moderate-complexity visit. Healthcare providers use it when they need to perform a comprehensive evaluation and make medical decisions that are of moderate complexity.

Related codes include 99202, 99204, and 99205, which represent different levels of new patient E/M visits, varying by complexity and time spent.

Components of a 99203 E/M Visit

1. History and Physical Examination Requirements

For a 99203 visit, documentation must include:

  • A detailed patient history
  • A detailed physical examination
  • Assessment of medical decision making (MDM) of moderate complexity

The history should cover chief complaint, history of present illness, review of systems, and past/family/social history. The physical exam typically involves a detailed examination of multiple organ systems.

2. Medical Decision Making (MDM) Explained

MDM is a crucial component of 99203. It includes:

  • Complexity of diagnosis
  • Amount and complexity of data reviewed
  • Risk to the patient of the management options

Providers can also code based on time if the time spent face-to-face with the patient meets CPT guidelines. Correct documentation is key to supporting MDM or time-based coding.

How to Correctly Bill CPT Code 99203

Insurance and Reimbursement Considerations

When billing 99203, providers must consider:

  • Medicare reimbursement rates
  • Commercial insurance policies
  • Patient co-pay and deductible requirements

Accurate coding ensures proper insurance claims processing and timely reimbursement.

Coding Compliance and Auditing Tips

To prevent claim denials or audits:

  • Follow CPT code selection guidelines carefully
  • Document thoroughly in the Electronic Health Record (EHR)
  • Incorporate best practices from Revenue Cycle Management (RCM)
  • Avoid upcoding or downcoding errors

Regular auditing and training for coding staff help maintain compliance and efficiency.

Common Mistakes in 99203 Coding

Errors in coding can lead to delayed or denied payments. Common mistakes include:

  • Using 99203 instead of 99202 or 99204
  • Incomplete documentation of history, exam, or MDM
  • Claim denials due to insufficient support for the selected level
  • Confusing time-based coding with MDM-based coding

Being vigilant about documentation and coding compliance reduces these errors.

Common Mistakes in 99203 Coding

Comparing 99203 with Other CPT Codes

It’s important to differentiate 99203 from other new patient CPT codes:

CPT Code 

Description 

Complexity 

99202 

New patient, straightforward or low-complexity 

Low 

99203 

New patient, moderate-complexity 

Moderate 

99204 

New patient, moderate-to-high complexity 

Moderate-High 

99205 

New patient, high complexity 

High 

Time-based coding vs MDM-based coding can also affect which level is appropriate. Providers must evaluate both time spent and medical decision-making complexity before assigning a code.

Updates and Changes to 99203 in 2025

CPT codes are updated annually. Key 2025 updates include:

  • Changes in E/M documentation guidelines
  • Clarifications on time-based vs MDM-based coding
  • Incorporation of telemedicine and virtual visit considerations

Providers should stay updated with the CPT code updates and AMA guidelines to ensure accurate billing.

Conclusion

CPT code 99203 is a critical code for new patient office visits with moderate complexity. Proper understanding of documentation, medical decision making, billing, and insurance reimbursement is essential for healthcare providers, coders, and RCM teams. By following coding compliance, auditing best practices, and 2025 updates, you can ensure accurate claims, proper reimbursement, and improved revenue cycle efficiency

Frequently Asked Questions

Yes, nurse practitioners (NPs) and physician assistants (PAs) can bill 99203 for new patient visits within their scope of practice. However, the visit must meet all documentation and complexity requirements for a moderate-level E/M service.

Reimbursement varies by payer, location, and provider type. For Medicare, 99203 typically reimburses at a moderate rate compared to lower-level codes like 99202, while commercial insurers may pay more depending on contract terms.

99203 is for new patients, whereas 99213 is for established patients. Both represent moderate-complexity visits, but the distinction affects billing rules, documentation requirements, and reimbursement.

Yes, telehealth visits can be billed as 99203 if the visit meets the same history, exam, and MDM requirements as an in-person visit. Some payers may require specific modifiers to indicate telehealth.

Providers should document:

  • Comprehensive patient history
  • Detailed physical exam findings
  • Medical decision making of moderate complexity or total time spent on the visit
    Clear documentation helps prevent denials and audit issues.

Modifiers may be required in certain cases, such as:

  • -25 for a significant, separately identifiable E/M service on the same day as a procedure
  • Telehealth modifiers like -95 for virtual visits
    Modifiers ensure correct billing and reimbursement.

Yes, as long as the overall medical decision making is of moderate complexity and the documentation supports all complaints, 99203 can be used. Providers must ensure the visit meets the CPT guidelines for history, exam, and MDM.

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