E+M Coding Guidelines

29
4
Codes and Documentation
for Evaluation and
Management Services
The evaluation and management (E/M) codes were introduced in the 1992 up-date
to the fourth edition of Physicians’ Current Procedural Terminology (CPT).
These codes cover a broad range of services for patients in both inpatient and
outpatient settings. In 1995 and again in 1997, the Health Care Financing Ad-ministration
(now the Centers for Medicare and Medicaid Services, or CMS)
published documentation guidelines to support the selection of appropriate
E/M codes for services provided to Medicare beneficiaries. The major differ-ence
between the two sets of guidelines is that the 1997 set includes a single-sys-tem
psychiatry examination (mental status examination) that can be fully
substituted for the comprehensive, multisystem physical examination required
by the 1995 guideline. Because of this, it clearly makes the most sense for
mental health practitioners to use the 1997 guidelines (see Appendix E). A practical
27-page guide from CMS on how to use the documentation guidelines can be
found at http://www.cms.hhs.gov/MLNProducts/downloads/eval_mgmt_serv
_guide.pdf. The American Medical Association’s CPT manual also provides
valuable information in the introduction to its E/M section. Clinicians currently
have the option of using the 1995 or 1997 CMS documentation guidelines for
E/M services, although for mental health providers the 1997 version is the obvi-ous
choice.
The E/M codes are generic in the sense that they are intended to be used by
all physicians, nurse-practitioners, and physician assistants and to be used in
primary and specialty care alike. All of the E/M codes are available to you for re-porting
your services. Psychiatrists frequently ask, “Under what clinical cir-cumstances
would you use the office or other outpatient service E/M codes in
lieu of the psychiatric evaluation and psychiatric therapy codes?” The decision

30 Procedure Coding Handbook for Psychiatrists, Fourth Edition
to use one set of codes over another should be based on which code most accu-rately
describes the services provided to the patient. The E/M codes give you
flexibility for reporting your services when the service provided is more medi-cally
oriented or when counseling and coordination of care is being provided
more than psychotherapy. (See p. 44 for a discussion of counseling and coordi-nation
of care).
Appendix K provides national data on the distribution of E/M codes selected
by psychiatrists within the Medicare program. Please note that although there
are many codes available to use for reporting services, the existence of the codes
in the CPT manual does not guarantee that insurers will reimburse you for the
services designated by those codes. Some insurers mandate that psychiatrists and
other mental health providers only bill using the psychiatric codes (90801–90899).
It is always smart to check with the payer when there are alternatives available for
coding.
THE E/M CODES
• E/M codes are used by all physician specialties and all other duly licensed
health providers.
• The definitions of new patient and established patient are important because
of the extensive use of these terms throughout the guidelines in the E/M sec-tion.
A new patient is defined as one who has not received any professional
services from the physician or another physician of the same specialty who
belongs to the same group within the past 3 years. An established patient
is one who has received professional services from the physician or another
physician of the same specialty who belongs to the same group within the past
3 years. When a physician is on call covering for another physician, the decision
as to whether the patient is new or established is determined by the relation-ship
of the covering physician to the physician group that has provided care
to the patient for whom the coverage is now being provided. If the doctor is
in the same practice, even though she has never seen the patient before, the
patient is considered established. There is no distinction made between new
and established patients in the emergency department.
The other terms used in the E/M descriptors are equally as important.
The terms that follow are vital to correct E/M coding (complete definitions
for them can be found under Steps 4 and 5 later in this chapter):
• Problem-focused history
• Detailed history
• Expanded problem-focused history
• Comprehensive history
• Problem-focused examination
• Detailed examination
• Expanded problem-focused examination
• Comprehensive examination

Codes and Documentation for Evaluation and Management Services 31
• Straightforward medical decision making
• Low-complexity medical decision making
• Moderate-complexity medical decision making
• High-complexity medical decision making
• E/M codes have three to five levels of service based on increasing amounts of
work.
• Most E/M codes have time elements expressed as the time “typically” spent
face-to-face with the patient and/or family for outpatient care or unit floor
time for inpatient care.
• For each E/M code it is noted that “Counseling and/or coordination of care
with other providers or agencies is provided consistent with the nature of the
problem(s) and the patient’s and/or family’s needs.” When this counseling and
coordination of care accounts for more than 50% of the time spent, the typical
time given in the code descriptor may be used for selecting the appropriate code
rather than the other factors. (See p. 44 for a discussion of counseling and co-ordination
of care.)
• The 1995 and 1997 CMS documentation guidelines for E/M codes have be-come
the basis for sometimes draconian compliance requirements for clini-cians
who treat Medicare beneficiaries. Commercial payers have adopted
elements of the documentation system in a variable manner. The fact is that
the documentation guidelines cannot be ignored by practitioners. To do so would
place the practitioner at risk for audits, civil actions by payers, and perhaps even
criminal charges and prosecution by federal agencies.
SELECTING THE LEVEL OF E/M SERVICE
The following are step-by-step instructions that guide you through the code se-lection
process when providing services defined by E/M codes. Code selection is
made based on the work performed.
Step 1: Select the Category and Subcategory of E/M Service
Table 4–1 lists the E/M services most likely to be used by psychiatrists. This table
provides only a partial list of services and their codes. For the full list of E/M codes
you will need to refer to the CPT manual.

TABLE 4–1. EVALUATION AND MANAGEMENT CODES MOST LIKELY TO BE USED BY
PSYCHIATRISTS
CATEGORY/SUBCATEGORY CODE NUMBERS
Office or outpatient services
New patient 99201–99205
Established patient 99211–99215
Hospital observational services
Observation care discharge services 99217
Initial observation care 99218–99220
Hospital inpatient services
Initial hospital care 99221–99223
Subsequent hospital care 99231–99233
Hospital discharge services 99238–99239
Consultations1
Office consultations 99241–99245
Inpatient consultations 99251–99255
Emergency department services
Emergency department services 99281–99288
Nursing facility services
Initial nursing facility care 99304–99306
Subsequent nursing facility care 99307–99310
Nursing facility discharge services 99315–99316
Annual nursing facility assessment 99318
Domiciliary, rest home, or custodial care services
Home services
Team conference services
Team conferences with patient/family2 99366
Team conferences without patient/family 99367
Behavior change interventions
Smoking and tobacco use cessation 99406–99407
Alcohol and/or substance abuse structured screening and brief
intervention
99408–99409
Non-face-to-face physician services3
Telephone services 99441–99443
On-line medical evaluation 99444
Basic life and/or disability evaluation services 99450
Work-related or medical disability evaluation services 99455–99456
1Medicare no longer recognizes these codes.
2For team conferences with the patient/family present, physicians should use the appropriate evaluation and man-
agement code in lieu of a team conference code.
3Medicare covers only face-to-face services.

Step 2: Review the Descriptors and Reporting Instructions for the E/M
Service Selected
Most of the categories and many of the subcategories of E/M services have spe-cial
guidelines or instructions governing the use of the codes. For example, un-der
the description of initial hospital care for a new or established patient, the
CPT manual indicates that the inpatient care level of service reported by the ad-mitting
physician should include the services related to the admission that he or
she provided in other sites of service as well as in the inpatient setting. E/M ser-vices
that are provided on the same date in sites other than the hospital and that
are related to the admission should not be reported separately.
Examples of Descriptors for CPT Codes Used Most Frequently by
Psychiatrists
99221—Initial hospital care, per day, for the evaluation and management of a
patient, which requires these three key components:
• A detailed or comprehensive history
• A detailed or comprehensive examination
• Medical decision making that is straightforward or of low complexity
Counseling and/or coordination of care with other providers or agencies is
provided consistent with the nature of the problem(s) and the patient’s and/or
family’s needs.
Usually, the problem(s) requiring admission are of low severity. Physicians
typically spend 30 minutes at the bedside and on the patient’s hospital floor or
unit.
• A comprehensive history
• A comprehensive examination
• Medical decision making of moderate complexity
family’s needs.
Usually, the problem(s) requiring admission are of moderate severity. Physicians
unit.
• Medical decision making of high complexity
family’s needs.
unit.

Step 3: Review the Service Descriptors and the Requirements for the Key
Components of the Selected E/M Service
Almost every category or subcategory of E/M service lists the required level of
history, examination, or medical decision making for that particular code. (See
the list of codes later in the chapter.)
For example, for E/M code 99223 the service descriptor is “Initial hospital
care, per day, for the evaluation and management of a patient, which requires these
three key components” and the code requires
Each of these components are described in Steps 4, 5, and 6.
Step 4: Determine the Extent of Work Required in Obtaining the History
The extent of the history obtained is driven by clinical judgment and the nature
of the presenting problem. Four levels of work are associated with history tak-ing.
They range from the simplest to the most complete and include the com-ponents
listed in the sections that follow.
The elements required for each type of history are depicted in Table 4–2. Note
that each history type requires more information as you read down the left-hand
column. For example, a problem-focused history requires the documentation
of the chief complaint (CC) and a brief history of present illness (HPI), and a
detailed history requires the documentation of a CC, an extended HPI, an ex-tended
review of systems (ROS), and a pertinent past, family, and/or social his-tory
(PFSH).
The extent of information gathered for a history is dependent on clinical judg-ment
and the nature of the presenting problem. Documentation of patient his-tory
includes some or all of the following elements.
A. CHIEF COMPLAINT (CC)
The chief complaint is a concise statement that describes the symptom, problem,
condition, diagnosis, or reason for the patient encounter. It is usually stated in the
patient’s own words. For example, “I am anxious, feel depressed, and am tired all
the time.”
B. HISTORY OF PRESENT ILLNESS (HPI)
The history of present illness is a chronological description of the development
of the patient’s present illness from the first sign and/or symptom or from the pre-vious
encounter to the present. HPI elements are:
• Location (e.g., feeling depressed)
• Quality (e.g., hopeless, helpless, worried)
• Severity (e.g., 8 on a scale of 1 to 10)
• Duration (e.g., it started 2 weeks ago)

TABLE 4–2. ELEMENTS REQUIRED FOR EACH TYPE OF HISTORY
• Timing (e.g., worse in the morning)
• Context (e.g., fired from job)
• Modifying factors (e.g., feels better with people around)
• Associated signs and symptoms (e.g., loss of appetite, loss of weight, loss of
sexual interest)
There are two types of HPIs, brief and extended:
1. Brief includes documentation of one to three HPI elements. In the following
example, three HPI elements—location, severity, and duration—are docu-mented:
• CC: Patient complains of depression.
• Brief HPI: Patient complains of feeling severely depressed for the past
2 weeks.
2. Extended includes documentation of at least four HPI elements or the status
of at least three chronic or inactive conditions. In the following example,
five HPI elements—location, severity, duration, context, and modifying fac-tors—
are documented:
• Extended HPI: Patient complains of feelings of depression for the past
2 weeks. Lost his job 3 weeks ago. Is worried about finances. Trouble sleep-ing,
loss of appetite, and loss of sexual interest. Rates depressive feelings as
8/10.
C. REVIEW OF SYSTEMS (ROS)
The review of systems is an inventory of body systems obtained by asking a se-ries
of questions in order to identify signs and/or symptoms that the patient
may be experiencing or has experienced. The following systems are recognized:
• Constitutional (e.g., temperature, weight, height, blood pressure)
• Eyes
• Ears, nose, mouth, throat
• Cardiovascular
• Respiratory
TYPE OF
HISTORY
CHIEF
COMPLAINT
HISTORY
OF PRESENT
ILLNESS
REVIEW OF
SYSTEMS
PAST, FAMILY,
AND/OR SOCIAL
HISTORY
Problem focused Required Brief N/A N/A
Expanded problem
focused
Required Brief Problem
pertinent
N/A
Detailed Required Extended Extended Pertinent
Comprehensive Required Extended Complete Complete

• Gastrointestinal
• Genitourinary
• Musculoskeletal
• Integumentary (skin and/or breast)
• Neurological
• Psychiatric
• Endocrine
• Hematologic/Lymphatic
• Allergic/Immunologic
There are three levels of ROS:
1. Problem pertinent, which inquires about the system directly related to the prob-lem
identified in the HPI. In the following example, one system—psychiat-ric—
is reviewed:
• CC: Depression.
• ROS: Positive for appetite loss and weight loss of 5 pounds (gastrointes-tinal/
constitutional).
2. Extended, which inquires about the system directly related to the problem(s)
identified in the HPI and a limited number (two to nine) of additional systems.
In the following example, two systems—constitutional and neurological—
are reviewed:
• CC: Depression.
• ROS: Patient reports a 5-lb weight loss over 3 weeks and problems sleep-ing,
with early morning wakefulness.
3. Complete, which inquires about the system(s) directly related to the prob-lem(
s) identified in the HPI plus all additional (minimum of 10) body sys-tems.
In the following example, 10 signs and symptoms are reviewed:
• ROS:
a. Constitutional: Weight loss of 5 lb over 3 weeks
b. Eyes: No complaints
c. Ear, nose, mouth, throat: No complaints
d. Cardiovascular: No complaints
e. Respiratory: No complaints
f. Gastrointestinal: Appetite loss
g. Urinary: No complaints
h. Skin: No complaints
i. Neurological: Trouble falling asleep, early morning awakening
j. Psychiatric: Depression and loss of sexual interest
D. PAST, FAMILY, AND/OR SOCIAL HISTORY (PFSH)
There are three basic history areas required for a complete PFSH:
1. Past medical/psychiatric history: Illnesses, operations, injuries, treatments

2. Family history: Family medical history, events, hereditary illnesses
3. Social history: Age-appropriate review of past and current activities
The data elements of a textbook psychiatric history, listed below, are substan-tially
more complete than the elements required to meet the threshold for a com-prehensive
or complete PFSH:
• Family history
• Birth and upbringing
• Milestones
• Past medical history
• Past psychiatric history
• Educational history
• Vocational history
• Religious background
• Dating and marital history
• Military history
• Legal history
The two levels of PFSH are:
1. Pertinent, which is a review of the history areas directly related to the prob-lem(
s) identified in the HPI. The pertinent PFSH must document one item
from any of the three history areas. In the following example, the patient’s
past psychiatric history is reviewed as it relates to the current HPI:
• Patient has a history of a depressive episode 10 years ago successfully
treated with Prozac. Episode lasted 3 months.
2. Complete. At least one specific item from two of the three basic history areas
must be documented for a complete PFSH for the following categories of E/M
services:
• Office or other outpatient services, established patient
• Emergency department
• Domiciliary care, established patient
• Home care, established patient
At least one specific item from each of the three basic history areas must be
documented for the following categories of E/M services:
• Office or other outpatient services, new patient
• Hospital observation services
• Hospital inpatient services, initial care
• Consultations
• Comprehensive nursing facility assessments
• Domiciliary care, new patient
• Home care, new patient
Documentation of History. Once the level of history is determined, docu-mentation
of that level of HPI, ROS, and PFSH is accomplished by listing the re-quired
number of elements for each of the three components (see Table 4–3).

TABLE 4–3. PATIENT HISTORY TAKING
Level of history is achieved when all four of the four criteria for each
element are completed for that level.
LEVELS
Problem
focused
Expanded
problem focused Detailed Comprehensive
ELEMENT CRITERIA
Chief complaint (always required): Should include a brief statement,
usually in the patient’s own words; symptom(s); problem; condition;
diagnosis; and reason for the encounter
Chief complaint Chief complaint Chief complaint Chief complaint
History of the present illness: A chronological description of the
development of the patient’s present illness
Brief, one to
three bullets
Brief, one to three
bullets
Extended, four or
more bullets
Extended, four or
more bullets
• Associated signs and symptoms
• Context
• Duration
• Location
• Modifying factors
• Quality
• Severity
• Timing
Review of systems: An inventory of body systems to identify signs and/
or symptoms
None Pertinent to
problem,
one system
Extended, two to
nine systems
Complete, 10 or
more systems or
some systems
with statement
“all others negative”
• Allergic, immunologic
• Cardiovascular
• Constitutional (fever, weight loss)
• Endocrine
• Eyes
• Genitourinary
• Hematologic, lymphatic
• Integumentary (skin, breast)
• Musculoskeletal
• Neurological
• Psychiatric
• Respiratory
Past, family, and/or social history: Chronological review of relevant data
• Past history: Illnesses, operations, injuries, treatments
• Family history: Family medical history, events, hereditary illnesses
• Social history: Age-appropriate review of past and current activities
None None Pertinent,
one history area
Complete, two or
three history areas

An ROS and/or PFSH taken during an earlier visit need not be rerecorded if
there is evidence that it has been reviewed and any changes to the previous in-formation
have been noted. The ROS may be obtained by ancillary staff or may
be provided on forms completed by the patient. The clinician must review the ROS,
supplement and/or confirm the pertinent positives and negatives, and docu-ment
the review. By doing so, the clinician takes medical-legal responsibility for
the accuracy of the data. If the condition of the patient prevents the clinician
from obtaining a history, the clinician should describe the patient’s condition or
the circumstances that precluded obtaining the history. Failure to provide and
record the required number of elements of the ROS for the level of history des-
ignated is the most frequently cited deficiency in audits of clinicians’ mental
health records.
See Appendix H for examples of templates that provide a structure that will
ensure that the clinician’s note and documentation requirements are met. The
Attending Physician Admitting Note template for initial hospital case with a com-plete
history qualifies for a comprehensive level of history. The Attending Physician
Subsequent Care template for inpatient subsequent care or outpatient estab-lished
care contains the required elements for three levels of inpatient subse-quent
care or five levels of outpatient established care.
Step 5: Determine the Extent of Work in Performing the Examination
The mental status examination of a patient is considered a single system exam-ination.
The elements of the examination are provided in Table 4–4. This defi-nition
of what composes a mental status examination was jointly published by
the American Medical Association and Health Care Financing Administration
(now CMS) in 1997. There are four levels of work associated with performing a
mental status examination.
Table 4–4 is a summary of the four levels of examination and the number of
bullets (elements) required for each level. Template examples for the mental
status examination are illustrated in Appendix H. Failure to provide and
record the required number of constitutional elements (including vital signs)
is the second most frequently cited deficiency in audits of clinicians’ medical
records.
Step 6: Determine the Complexity of Medical Decision Making
Medical decision making is the complex task of establishing a diagnosis and se-lecting
treatment and management options. Medical decision making is closely
tied to the nature of the presenting problem. A presenting problem is a disease,
symptom, sign, finding, complaint, or other reason for the encounter having been
initiated.
• Minimal—A problem that may or may not require physician presence, but
the services provided are under physician supervision.
• Self-limited or minor—A problem that is transient, runs a definite course, and
is unlikely to permanently alter health status.

TABLE 4–4. CONTENT AND DOCUMENTATION REQUIREMENTS FOR THE SINGLE SYSTEM PSYCHIATRIC EXAMINATION
SYSTEM/BODY AREA AND ELEMENTS OF EXAMINATION CRITERIA
Constitutional
• Measurement of any three of the following seven vital signs (may be
measured and recorded by ancillary staff):
1. Sitting or standing blood pressure
2. Supine blood pressure
3. Pulse rate and regularity
4. Respiration
5. Temperature
6. Height
7. Weight
• General appearance of patient (e.g., development, nutrition, body habitus,
deformities, attention to grooming)
One to five
elements
identified by
a bullet
At least six
elements
identified
by a bullet
At least nine
elements
identified
by a bullet
All elements
identified by
a bullet
Musculoskeletal
• Assessment of muscle strength and tone
• Examination of gait and station
Psychiatric
Description of patient’s
• Speech, including rate, volume, articulation, coherence, and spontaneity,
with notation of abnormalities (e.g., perseveration, paucity of language)
• Thought processes, including rate of thoughts, content of thoughts (e.g.,
logical versus illogical, tangential), abstract reasoning, and computation
• Associations (e.g., loose tangential, circumstantial, intact)
• Abnormal psychotic thoughts, including hallucinations, delusions,
preoccupation with violence, homicidal or suicidal ideation, and obsessions
• Mood and affect (e.g., depression, anxiety, agitation, hypomania, lability)
• Judgment (e.g., concerning everyday activities and social situations) and
insight (e.g., concerning psychiatric condition)
Complete mental status examination, including
• Orientation to time, place, and person
• Recent and remote memory
• Attention span and concentration
• Language (e.g., naming objects, repeating phrases)
• Fund of knowledge (e.g., awareness of current events, past history,
vocabulary)
Level of examination is achieved when the number of criteria specified for
a given level is met
Problem
focused
Expanded
problem focused
Detailed Comprehensive
Source. Centers for Medicare and Medicaid Services 1997 Guidelines for Documentation of Evaluation and Management Services.

• Low severity—A problem of low morbidity, no risk of mortality, and expec-tation
of full recovery with no residual functional incapacity.
• Moderate severity—A problem with moderate risk of morbidity and/or mor-tality
without treatment, uncertain outcome, and probability of prolonged
functional impairment.
• High severity—A problem of high to extreme morbidity without treatment,
moderate to high risk of mortality without treatment, and/or probability of
severe, prolonged functional impairment.
Medical decision making is based on three sets of data:
1. The number of diagnoses and management options: As specified in Table 4–5,
this is the first step in determining the type of medical decision making.
TABLE 4–5. NUMBER OF DIAGNOSES AND MANAGEMENT OPTIONS
MINIMAL LIMITED MULTIPLE EXTENSIVE
Diagnoses One established One established
[and] one rule-
out or
differential
Two rule-out or
differential
More than two
rule-out or
differential
Problem(s) Improved Stable
Resolving
Unstable
Failing to change
Worsening
Marked change
2. The amount and/or complexity of medical records, diagnostic tests, and/or
other information that must be obtained, reviewed, and analyzed: Table 4–6
lists the elements and criteria that determine the level of decision making for
this set of data.
3. Risk of complications and/or morbidity or mortality as well as comorbidities:
As with the two previous tables, Table 4–7 provides the elements and criteria
used to rate this particular data set.
Management
options
One or two Two or three Three changes in
treatment plan
Four or more
changes in
treatment plan
Note. To qualify for a given type of decision making, two of three elements must be met or exceeded.
TABLE 4–6. AMOUNT AND/OR COMPLEXITY OF DATA TO BE REVIEWED
MINIMAL LIMITED MODERATE EXTENSIVE
Medical data One source Two sources Three sources Multiple sources
Diagnostic tests Two Three Four More than four
Review of results Confirmatory
review
Confirmation of
results with
another
physician
Results discussed
with physician
performing
tests
Unexpected results,
contradictory
reviews, requires
additional reviews

TABLE 4–7. TABLE OF RISK
LEVEL OF
RISK PRESENTING PROBLEM(S)
DIAGNOSTIC PROCEDURE(S)
ORDERED MANAGEMENT OPTIONS SELECTED
Minimal One self-limited problem (e.g., medication
side effect)
Laboratory tests requiring venipuncture
Urinalysis
Reassurance
Low Two or more self-limited or minor problems
or one stable, chronic illness (e.g., well-
controlled depression) or acute
uncomplicated illness (e.g., exacerbation
of anxiety disorder)
Psychological testing
Skull film
Psychotherapy
Environmental intervention (e.g., agency, school,
vocational placement)
Referral for consultation (e.g., physician, social
worker)
Moderate One or more chronic illness with mild
exacerbation, progression, or side effects
of treatment or two or more stable chronic
illnesses or undiagnosed new problem
with uncertain prognosis (e.g., psychosis)
Electroencephalogram
Neuropsychological testing
Prescription drug management
Open-door seclusion
Electroconvulsive therapy, inpatient, outpatient,
routine; no comorbid medical conditions
High One or more chronic illnesses with severe
exacerbation, progression, or side effect of
treatment (e.g., schizophrenia) or acute
illness with threat to life (e.g., suicidal or
homicidal ideation)
Lumbar puncture
Suicide risk assessment
Drug therapy requiring intensive monitoring (e.g.,
tapering diazepam for patient in withdrawal)
Closed-door seclusion
Suicide observation
Electroconvulsive therapy; patient has comorbid
medical condition (e.g., cardiovascular disease)
Rapid intramuscular neuroleptic administration
Pharmacological restraint
Source. Modified from CMS 1997 Guidelines for Psychiatry Single System Exam.

DETERMINING THE OVERALL LEVEL OF MEDICAL DECISION MAKING
Table 4–8 provides a grid that includes the components of the three preceding
tables and level of complexity for each of those three components. The overall
level of decision making is decided by placing the level of each of the three com-ponents
into the appropriate box in a manner that allows them to be summed up
to rate the overall decision making as straightforward, low complexity, moderate
complexity, or high complexity.
DOCUMENTATION
The use of templates, either preprinted forms or embedded in an electronic pa-tient
record (see Appendix H), is an efficient means of addressing the documen-tation
of decision making. Rather than counting or scoring the elements of the
three components and actually filling out a grid like the one in the Table 4–8, a
template can be constructed in collaboration with the compliance officer of your
practice or institution to include prompts that capture the required data neces-sary
to document complexity. Solo practitioners may require the assistance of
their specialty association or a consultant to develop appropriate templates.
The templates in Appendix H fulfill the documentation requirements for
both clinical and compliance needs. The fifth page of the Attending Physician
Admission Note template includes all of the elements necessary for addressing
Step 6 of the E/M decision-making process. Similarly, the second page of the daily
note for inpatient or outpatient care also includes the elements for document-ing
medical decision making.
Remember: Clinically, there is a close relationship between the nature of the
presenting problem and the complexity of medical decision making. For example:
• Patient A comes in for a prescription refill—straightforward decision making
• Patient B presents with suicidal ideation—decision making of high com-plexity
TABLE 4–8. ELEMENTS AND TYPE OF MEDICAL DECISION MAKING
TYPE OF DECISION MAKING
Straightforward
Low
complexity
Moderate
complexity
High
complexity
Number of diagnoses or
management options
(Table 4–5)
Minimal Limited Multiple Extensive
Amount and/or complexity
of data to be reviewed
(Table 4–6)
Minimal or none Limited Moderate Extensive
Risk of complications and/or
morbidity or mortality
(Table 4–7)
Minimal Low Moderate High

Step 7: Select the Appropriate Level of E/M Service
As noted earlier, each category of E/M service has three to five levels of work as-sociated
with it. Each level of work has a descriptor of the service and the re-quired
extent of the three key components of work. For example:
99223 Descriptor: Initial hospital care, per day for the evaluation and
management of a patient, which requires these three key
components:
• Medical decision making that is of high complexity
For new patients, the three key components (history, examination, and med-ical
decision making) must meet or exceed the stated requirements to qualify for
each level of service for office visits, initial hospital care, office consultations, ini-tial
inpatient consultations, confirmatory consultations, emergency department
services, comprehensive nursing facility assessments, domiciliary care, and home
services.
For established patients, two of the three key components (history, exami-nation,
and medical decision making) must meet or exceed the stated require-ments
to qualify for each level of service for office visits, subsequent hospital care,
follow-up inpatient consultations, subsequent nursing facility care, domiciliary
care, and home care.
WHEN COUNSELING AND COORDINATION OF CARE ACCOUNT FOR MORE
THAN 50% OF THE FACE-TO-FACE PHYSICIAN–PATIENT ENCOUNTER
When counseling and coordination of care account for more than 50% of the
face-to-face physician–patient encounter, then time becomes the key or control-ling
factor in selecting the level of service. Note that counseling or coordination
of care must be documented in the medical record. The definitions of counseling,
coordination of care, and time follow.
Counseling is a discussion with a patient or the patient’s family concerning one
or more of the following issues:
• Diagnostic results, impressions, and/or recommended diagnostic studies
• Prognosis
• Risks and benefits of management (treatment) options
• Instructions for management (treatment) and/or follow-up
• Importance of adherence to chosen management (treatment) options
• Risk factor reduction
• Patient and family education
Coordination of care is not specifically defined in the E/M section of the CPT
manual. A working definition of the term could be as follows: Services provided
by the physician responsible for the direct care of a patient when he or she coor-dinates
or controls access to care or initiates or supervises other healthcare ser-

vices needed by the patient. Outpatient coordination of care must be provided
face-to-face with the patient. Coordination of care with other providers or agen-cies
without the patient being present on that day is reported with the case man-agement
codes.
TIME
For the purpose of selecting the level of service, time has two definitions.
1. For office and other outpatient visits and office consultations, intraservice
time (time spent by the clinician providing services with the patient and/or
family present) is defined as face-to-face time. Pre- and post-encounter time
(non-face-to-face time) is not included in the average times listed under
each level of service for either office or outpatient consultative services. The
work associated with pre- and post-encounter time has been calculated into
the total work effort provided by the physician for that service.
2. Time spent providing inpatient and nursing facility services is defined as unit/
floor time. Unit/floor time includes all work provided to the patient while the
psychiatrist is on the unit. This includes the following:
• Direct patient contact (face-to-face)
• Review of charts
• Writing of orders
• Writing of progress notes
• Reviewing test results
• Meeting with the treatment team
• Telephone calls
• Meeting with the family or other caregivers
• Patient and family education
Work completed before and after direct patient contact and presence on the
unit/floor, such as reviewing X-rays in another part of the hospital, has been in-cluded
in the calculation of the total work provided by the physician for that
service. Unit/floor time may be used to select the level of inpatient services by
matching the total unit/floor time to the average times listed for each level of in-patient
service. For instance:
99221 Descriptor: Initial hospital care, per day, for the evaluation and
management of a patient, which requires these three key
components:
• A detailed or comprehensive history
• A detailed or comprehensive examination
Counseling and/or coordination of care with other providers or agencies
are provided consistent with the nature of the problem(s) and the patient’s and/
or family’s needs.

unit.
Table 4–9 provides an example of an auditor’s worksheet employed in mak-ing
the decision of whether to use time in selecting the level of service. The three
questions are prompts that assist the auditor (usually a nurse reviewer) in as-sessing
whether the clinician 1) documented the length of time of the patient
encounter, 2) described the counseling or coordination of care, and 3) indicated
that more than half of the encounter time was for counseling or coordination of
care.
Important: If you elect to report the level of service based on counseling
and/or coordination of care, the total length of time of the encounter should
be documented and the record should describe the counseling and/or
services or activities performed to coordinate care.
TABLE 4–9. CHOOSING LEVEL BASED ON TIME
YES NO
Does documentation reveal total time?
Time: Face-to-face in outpatient setting; unit/floor in inpatient setting
Does documentation describe the content of counseling or coordinating
care?
Does documentation suggest that more than half of the total time was
counseling or coordinating of care?
Note. If all answers are yes, select level based on time.
For examples and vignettes of code selection in specific clinical settings, see
Chapter 5.
EVALUATION AND MANAGEMENT CODES MOST LIKELY TO BE
USED BY PSYCHIATRISTS AND OTHER APPROPRIATELY
LICENSED MENTAL HEALTH PROFESSIONALS
It is vital to read the explanatory notes in the CPT manual for an accurate un-
derstanding of when each of these codes should be used.
Note: For each of the following codes it is noted that: “Counseling and/or
coordination of care with other providers or agencies is provided consistent with
the nature of the problem(s) and the patient’s and/or family’s needs.” As stated
earlier, when this counseling and coordination of care accounts for more than
50% of the time spent, the typical time given in the code descriptor may be used
for selecting the appropriate code rather than the other factors.

Office or Other Outpatient Services
NEW PATIENT
99201—The three following components are required:
• Medical decision making that is straightforward
Presenting problem(s): Self-limited or minor
Typical time: 10 minutes face-to-face with patient and/or family
Presenting problem(s): Low to moderate severity
• Medical decision making of low complexity
Presenting problem(s): Moderate severity
Presenting problem(s): Moderate to high severity
ESTABLISHED PATIENT
99211—This code is used for a service that may not require the presence of
a physician. Presenting problems are minimal, and 5 minutes is the typical
time that would be spent performing or supervising these services.

99212—Two of the three following components are required:
Hospital Observational Services
OBSERVATION CARE DISCHARGE SERVICES
99217—This code is used to report all services provided on discharge from
“observation status” if the discharge occurs after the initial date of “obser-vation
status.”
INITIAL OBSERVATION CARE
• Detailed or comprehensive history
• Detailed or comprehensive examination
• Medical decision making of straightforward or of low complexity
Presenting problem(s): Low severity
Typical time: None listed

Presenting problem(s): High severity
Hospital Inpatient Services
Services provided in a partial hospitalization setting would also use these codes.
(With the elimination of the consultation codes as of January 1, 2010, CMS has
created a new modifier A1, that is used to denote the admitting physician.)
INITIAL HOSPITAL CARE FOR NEW OR ESTABLISHED PATIENT
Typical time: 30 minutes at the bedside or on the patient’s floor or unit

SUBSEQUENT HOSPITAL CARE
• Problem-focused interval history
Presenting problem(s): Patient usually stable, recovering, or improving
• Expanded problem-focused interval history
Presenting problem(s): Patient responding inadequately to therapy or has
developed a minor complication
• Detailed interval history
Presenting problem(s): Patient unstable or has developed a significant new
problem
HOSPITAL DISCHARGE SERVICES
99238—Time: 30 minutes or less
99239—Time: More than 30 minutes
Consultations
Medicare no longer pays for the consultation codes. When coding for Medicare
or for commercial carriers that have followed Medicare’s lead, 90801 may be
used for both inpatient and outpatient consults. Psychiatrists who choose to use
E/M codes to report outpatient consults should use the outpatient new patient
codes (99201–99205). For inpatient consults, the codes to use are hospital in-patient
services, initial hospital care for new or established patients (99221–
99223). For consults in nursing homes, initial nursing facility care codes should
be used (99304–99306); if the consult is of low complexity, the subsequent nurs-ing
facility codes may be used (99307–99310). As with all E/M codes, the selection
of the specific code is based on the complexity of the case and the amount of
work required. Medicare has created a new modifier, A1, to denote the admit-ting
physician so that more than one physician may use the initial hospital care
codes.

OFFICE OR OTHER OUTPATIENT CONSULTATIONS
INPATIENT CONSULTATIONS

Emergency Department Services
No distinction is made between new and established patients in this setting. There
are no typical times provided for emergency E/M services.
Presenting problem(s): Low or moderate severity

Presenting problem(s): High severity and pose(s) an immediate and signif-icant
threat to life or physiological function
Nursing Facility Services
INITIAL NURSING FACILITY CARE
Problem(s) requiring admission: Low severity
Typical time: 25 minutes with patient and/or family or caregiver
Problem(s) requiring admission: Moderate severity
Problem(s) requiring admission: High severity

SUBSEQUENT NURSING FACILITY CARE
Presenting problem(s): Patient usually responding inadequately to therapy
or has developed a minor complication
Presenting problem(s): Patient usually has developed a significant compli-cation
or a significant new problem
• Comprehensive interval history
Presenting problem(s): Patient may be unstable or may have developed a
significant new problem requiring immediate physician attention
NURSING FACILITY DISCHARGE SERVICES
99315—Time: 30 minutes or less
ANNUAL NURSING FACILITY ASSESSMENT
• Medical decision making of low to moderate complexity

Domiciliary, Rest Home, or Custodial Care Services
The following codes are used to report E/M services in a facility that provides
room, board, and other personal services, usually on a long-term basis. They
are also used in assisted living facilities.
NEW PATIENT
Presenting problem(s): Patient usually has developed a significant new prob-lem
requiring immediate physician attention

ESTABLISHED PATIENT
• Medical decision making of moderate to high complexity
Presenting problem(s): Patient may be unstable or has developed a signifi-cant
new problem requiring immediate physician attention
Home Services
These codes are used for E/M services provided to a patient in a private residence,
in other words, for home visits.
NEW PATIENT

Presenting problem(s): Patient unstable or has developed a significant new
problem that requires immediate physician attention
ESTABLISHED PATIENT

• Medical decision making of moderate to high complexity
Presenting problem(s): Moderate to high severity—patient may be unstable
or may have developed a significant new problem requiring immediate physi-cian
attention
Case Management Services
MEDICAL TEAM CONFERENCES
99366—To be used when patient and/or family is present*
Physicians should use the appropriate code from the “Evaluation and Manage-ment”
section when reporting this service.
99367—To be used when there is no face-to-face contact with the patient
and/or family
Preventive Medicine Services
COUNSELING RISK FACTOR REDUCTION AND BEHAVIOR CHANGE
INTERVENTION
99406—Time: 3–10 minutes
99408—Time: 15–30 minutes, includes the administration of an alcohol
and/or substance abuse screening tool and brief intervention
99409—Time: 30 minutes or more
NON-FACE-TO-FACE SERVICES
Medicare does not pay for these.
Telephone Services
99441—Time: 5–10 minutes of medical discussion

On-Line Medical Evaluation
99444—For an established patient, guardian, or healthcare provider; may
not have originated from a related E/M service provided within the previ-ous
7 days.
Special Evaluation and Management Services
Medicare does not pay for these.
BASIC LIFE AND/OR DISABILITY EVALUATION SERVICES
99450—The four following elements are required:
• Measurement of height, weight, and blood pressure
• Completion of a medical history following a life insurance pro forma
• Collection of blood sample and/or urinalysis complying with “chain of cus-tody”
protocols
• Completion of necessary documentation/certificates
WORK-RELATED OR MEDICAL DISABILITY EVALUATION SERVICES
99455—Work-related medical disability examination done by the treating
physician; the five following elements are required:
• Completion of medical history commensurate with the patient’s condition
• Performance of an examination commensurate with the patient’s condition
• Formulation of a diagnosis, assessment of capabilities and stability, and cal-culation
of impairment
• Development of future medical treatment plan
• Completion of necessary documentation/certificates, and report
99456—Work-related medical disability examination done by provider
other than the treating physician. Must include the same five elements list-ed
for previous code.
This is just a partial list of codes found in the “Evaluation and Management” sec-tion
of the CPT manual. We advise all psychiatrists and other mental health clini-cians
to purchase a copy of the manual to ensure access to information on the full
range of codes.
QUESTIONS AND ANSWERS
Q. Who may use E/M codes?
A. Psychiatrists and appropriately licensed nurses and physician assistants may
use the E/M codes.

Q. Is a unit treatment team conference on an inpatient unit a service for which one
may code?
A. Treatment team conferences can be coded for but should be considered
part of overall coordination of care. The time spent providing that service
is a component of the total unit/floor time. Team conferences should not be
coded as a separate service but rather as a component of the total services pro-vided
to the patient on any given day.
Q. If I have a patient in the hospital whom I see for rounds in the morning and
again when I am called to the ward in the afternoon because of a problem, do
I code for two subsequent hospital care visits?
A. No. One code should be selected that incorporates all of the hospital inpa-tient
services provided that day.
Q. What are the documentation requirements associated with inpatient and out-
patient consultations?
A. The request for the consultation must be documented in the patient’s med-ical
record. The consultant’s opinion and any services that are performed
also must be documented in the patient’s medical record and communicat-ed
in writing to the requesting physician.
Q. What codes should be used for psychiatric services provided in partial hospital
settings, residential treatment facilities, and nursing homes?
A. The codes for partial hospitalization services are the same as those used for
hospital inpatient settings (99221–99239). The codes for residential treatment
services are the same as those used for nursing facility services (99301–
99316).
Q. When would I use the pharmacological management code (90862) rather than
one of the E/M outpatient codes?
A. Your decision should be based on which code most accurately reports the ser-vices
provided. Code 90862 is valued slightly less in relative value units than
99213, but 90862 is used specifically for psychopharmacological manage-ment.
Code 99213 denotes more general medical services and might include
consideration of comorbid medical conditions.
Q. Is it necessary for the provider to record the examination him- or herself or can
a checklist be used for the patient to record past history?
A. A checklist is acceptable if the clinician provides a narrative report of the im-portant
positive and relevant negative findings. Abnormal findings should be
described in the report. A notation of an abnormal finding without a de-scription
is not sufficient.
Q. Can a checklist be used for an ROS?
A. Yes, but pertinent positive and negative findings that are relevant to the pre-senting
problem must be commented on by the examining clinician. Failure
to document the appropriate number of systems for each level of service is the
most common reason for downcoding by claims auditors, resulting in a lower
level of reimbursement.

Q. Now that Medicare no longer pays for consultation codes, how do I code for a
consultation request from a colleague and what are the reporting requirements?
A. When you are coding for Medicare or for commercial carriers that have fol-lowed
Medicare’s lead, 90801 may be used for both inpatient and outpatient
consults. Psychiatrists who choose to use E/M codes to report outpatient con-sults
should use the outpatient new patient codes (99201–99205). For inpa-tient
consults, the codes to use are hospital inpatient services, initial hospital
care for new or established patients (99221–99223). For consults in nursing
homes, initial nursing facility care codes should be used (99304–99306); if
the consult is of low complexity, the subsequent nursing facility codes may be
used (99307–99310). As with all E/M codes, the selection of the specific code
is based on the complexity of the case and the amount of work required.
Medicare has created a new modifier, A1, to denote the admitting physician
so that more than one physician may use the initial hospital care codes. It is
still necessary to report back to the referring physician, but it is not necessary
to write a report. The report can be done by telephone or the patient record
can be sent to the referring physician.
Q. Is it permissible to use a template or checklist to record the mental status ex-
amination?
A. Yes.
Q. If my mode of practice for inpatient services is to have an internist or family
practitioner do a medical history and a physical examination and I then do
the psychiatric evaluation and mental status examination within a 24-hour
period, how can we code so we will both be paid?
A. The typical way to code for this situation is to have the internist or family
practitioner use a new patient E/M code and a medical diagnosis code and
for the psychiatrist use a hospital service code for first day and a psychiatric
diagnosis code.

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Appendix E
1997 CMS Documentation
Guidelines for Evaluation and
Management Services
(Abridged and Modified for
Psychiatric Services)
I. INTRODUCTION
A. What Is Documentation and Why Is It Important?
Medical record documentation is required to record pertinent facts, findings,
and observations about an individual’s health history, including past and pres-ent
illnesses, examinations, tests, treatments, and outcomes. The medical record
chronologically documents the care of the patient and is an important element
contributing to high-quality care. The medical record facilitates:
• the ability of the physician and other healthcare professionals to evaluate and
plan the patient’s immediate treatment, and to monitor his or her healthcare
over time;
• communication and continuity of care among physicians and other health-care
professionals involved in the patient’s care;
• accurate and timely claims review and payment;
• appropriate utilization review and quality of care evaluations; and
• collection of data that may be useful for research and education.
An appropriately documented medical record can reduce many of the “hassles”
associated with claims processing and may serve as a legal document to verify the
care provided, if necessary.
115

B. What Do Payers Want and Why?
Because payers have a contractual obligation to enrollees, they may require rea-sonable
documentation that services are consistent with the insurance coverage
provided. They may request information to validate:
• the site of service;
• the medical necessity and appropriateness of the diagnostic and/or thera-peutic
services provided; and/or
• that services provided have been accurately reported.
II. GENERAL PRINCIPLES OF MEDICAL RECORD
DOCUMENTATION
The principles of documentation listed here are applicable to all types of med-ical
and surgical services in all settings. For evaluation and management (E/M)
services, the nature and amount of physician work and documentation varies
by type of service, place of service, and the patient’s status. The general princi-ples
listed here may be modified to account for these variable circumstances in
providing E/M services.
1. The medical record should be complete and legible.
2. The documentation of each patient encounter should include:
• reason for the encounter and relevant history, physical examination find-ings,
and prior diagnostic test results;
• assessment, clinical impression, or diagnosis;
• plan for care; and
• date and legible identity of the observer.
3. If not documented, the rationale for ordering diagnostic and other ancillary
services should be easily inferred.
4. Past and present diagnoses should be accessible to the treating and/or con-sulting
physician.
5. Appropriate health risk factors should be identified.
6. The patient’s progress, response to and changes in treatment, and revision of
diagnosis should be documented.
7. The Current Procedural Terminology (CPT) and ICD-9-CM codes reported
on the health insurance claim form or billing statement should be supported
by the documentation in the medical record.
III. DOCUMENTATION OF E/M SERVICES
This publication provides definitions and documentation guidelines for the three
key components of E/M services and for visits that consist predominantly of
counseling or coordination of care. The three key components—history, exam-ination,
and medical decision making—appear in the descriptors for office and
other outpatient services, hospital observation services, hospital inpatient ser-

1997 CMS Documentation Guidelines for E/M Services 117
vices, consultations, emergency department services, nursing facility services,
domiciliary care services, and home services. While some of the text of CPT has
been repeated in this publication, the reader should refer to CPT for the complete
descriptors for E/M services and instructions for selecting a level of service. Doc-umentation
guidelines are identified by the symbol DG.
The descriptors for the levels of E/M services recognize seven components
that are used in defining the levels of E/M services:
• History
• Examination
• Medical decision making
• Counseling
• Coordination of care
• Nature of presenting problem
• Time
The first three of these components (i.e., history, examination, and medical
decision making) are the key components in selecting the level of E/M services.
In the case of visits that consist predominantly of counseling or coordination of
care, time is the key or controlling factor to qualify for a particular level of E/M
service.
Because the level of E/M service is dependent on two or three key compo-nents,
performance and documentation of one component (e.g., examination)
at the highest level does not necessarily mean that the encounter in its entirety
qualifies for the highest level of E/M service.
These Documentation Guidelines for E/M services reflect the needs of the
typical adult population. For certain groups of patients, the recorded informa-tion
may vary slightly from that described here. Specifically, the medical records
of infants, children, adolescents, and pregnant women may have additional or
modified information recorded in each history and examination area.
As an example, newborn records may include under history of the present ill-ness
the details of mother’s pregnancy and the infant’s status at birth; social his-tory
will focus on family structure; and family history will focus on congenital
anomalies and hereditary disorders in the family. In addition, the content of a
pediatric examination will vary with the age and development of the child. Al-though
not specifically defined in these documentation guidelines, these patient
group variations on history and examination are appropriate.
A. Documentation of History
The levels of E/M services are based on four types of history (problem focused,
expanded problem focused, detailed, and comprehensive). Each type of history
includes some or all of the following elements:
• Chief complaint (CC)
• History of present illness (HPI)
• Review of systems (ROS)
• Past, family, and/or social history (PFSH)

The extent of HPI, ROS, and PFSH that is obtained and documented is de-pendent
on clinical judgment and the nature of the presenting problem(s).
The chart below shows the progression of the elements required for each type
of history. To qualify for a given type of history all three elements in the table must
be met. (A CC is indicated at all levels.)
DG: The CC, ROS, and PFSH may be listed as separate elements of history or
may be included in the description of the history of the present illness.
DG: An ROS and/or a PFSH obtained during an earlier encounter does not need
to be re-recorded if there is evidence that the physician reviewed and updated the
previous information. This may occur when a physician updates his or her own
record or in an institutional setting or group practice where many physicians use
a common record. The review and update may be documented by
• describing any new ROS and/or PFSH information or noting there has been
no change in the information; and
• noting the date and location of the earlier ROS and/or PFSH.
DG: The ROS and/or PFSH may be recorded by ancillary staff or on a form com-pl
eted by the patient. To document that the physician reviewed the information,
there must be a notation supplementing or confirming the information recorded
by others.
DG: If the physician is unable to obtain a history from the patient or other source,
the record should describe the patient’s condition or other circumstance that
precludes obtaining a history.
Definitions and specific documentation guidelines for each of the elements
of history are listed in the following sections.
CHIEF COMPLAINT (CC)
The CC is a concise statement describing the symptom, problem, condition, di-agnosis,
physician recommended return, or other factor that is the reason for
the encounter, usually stated in the patient’s words.
DG: The medical record should clearly reflect the CC.
History of
present illness
(HPI)
Review of systems
(ROS)
Past, family, and/or
social history
(PFSH) Type of history
Brief N/A N/A Problem focused
Brief Problem pertinent N/A Expanded problem focused
Extended Extended Pertinent Detailed
Extended Complete Complete Comprehensive

HISTORY OF PRESENT ILLNESS (HPI)
The HPI is a chronological description of the development of the patient’s pres-ent
illness from the first sign and/or symptom or from the previous encounter to
the present. It includes the following elements:
• Location
• Quality
• Severity
• Duration
• Timing
• Context
• Modifying factors
• Associated signs and symptoms
Brief and extended HPIs are distinguished by the amount of detail needed to
accurately characterize the clinical problem(s).
A brief HPI consists of one to three elements of the HPI.
DG: The medical record should describe one to three elements of the present illness.
An extended HPI consists of at least four elements of the HPI or the status of
at least three chronic or inactive conditions.
DG: The medical record should describe at least four elements of the present ill-n
ess or the status of at least three chronic or inactive conditions.
REVIEW OF SYSTEMS (ROS)
An ROS is an inventory of body systems obtained through a series of questions
seeking to identify signs and/or symptoms that the patient may be experiencing
or has experienced.
For purposes of the ROS, the following systems are recognized:
• Constitutional symptoms (e.g., fever, weight loss)
• Eyes
• Cardiovascular
• Respiratory
• Genitourinary
• Musculoskeletal
• Integumentary (skin and/or breast)
• Neurological
• Psychiatric
• Endocrine
• Hematological/Lymphatic
• Allergic/Immunologic

A problem pertinent ROS inquires about the system directly related to the
problem(s) identified in the HPI.
DG: The patient’s positive responses and pertinent negatives for the system re-
lated to the problem should be documented.
An extended ROS inquires about the system directly related to the problem(s)
identified in the HPI and a limited number of additional systems.
DG: The patient’s positive responses and pertinent negatives for two to nine sys-
tems should be documented.
A complete ROS inquires about the system(s) directly related to the prob-lem(
s) identified in the HPI plus all additional body systems.
DG: At least 10 organ systems must be reviewed. Those systems with positive or
pertinent negative responses must be individually documented. For the remain-
ing systems, a notation indicating all other systems are negative is permissible.
In the absence of such a notation, at least 10 systems must be individually doc-
umented.
PAST, FAMILY, AND/OR SOCIAL HISTORY (PFSH)
The PFSH consists of a review of three areas:
• Past history (the patient’s past experiences with illnesses, operations, inju-ries,
and treatments)
• Family history (a review of medical events in the patient’s family, including
diseases that may be hereditary or place the patient at risk)
• Social history (an age-appropriate review of past and current activities)
For certain categories of E/M services that include only an interval history, it
is not necessary to record information about the PFSH. Those categories are sub-sequent
hospital care, follow-up inpatient consultations, and subsequent nursing
facility care.
A pertinent PFSH is a review of the history area(s) directly related to the prob-lem(
s) identified in the HPI.
DG: At least one specific item from any of the three history areas must be doc-
umented for a pertinent PFSH.
A complete PFSH is of a review of two or all three of the PFSH history areas,
depending on the category of the E/M service. A review of all three history areas
is required for services that by their nature include a comprehensive assessment
or reassessment of the patient. A review of two of the three history areas is suf-ficient
for other services.
DG: At least one specific item from two of the three history areas must be doc-
umented for a complete PFSH for the following categories of E/M services: office
or other outpatient services, established patient; emergency department; domi-
ciliary care, established patient; and home care, established patient.

DG: At least one specific item from each of the three history areas must be doc-
umented for a complete PFSH for the following categories of E/M services: office
or other outpatient services, new patient; hospital observation services; hospital
inpatient services, initial care; consultations; comprehensive nursing facility as-
sessments; domiciliary care, new patient; and home care, new patient.
B. Documentation of Examination
The levels of E/M services are based on four types of examination:
• Problem focused—A limited examination of the affected body area or organ
system.
• Expanded problem focused—A limited examination of the affected body area
or organ system and any other symptomatic or related body area(s) or organ
system(s).
• Detailed—An extended examination of the affected body area(s) or organ sys-tem(
s) and any other symptomatic or related body area(s) or organ system(s).
• Comprehensive—A general multisystem examination or complete examina-tion
of a single organ system and other symptomatic or related body area(s)
or organ system(s).
These types of examinations have been defined for general multisystem and
the following single organ systems:
• Cardiovascular
• Ears, nose, mouth, and throat
• Eyes
• Genitourinary (female)
• Genitourinary (male)
• Hematological/Lymphatic/Immunological
• Musculoskeletal
• Neurological
• Psychiatric
• Respiratory
• Skin
A general multisystem examination or a single organ system examination
may be performed by any physician regardless of specialty. The type (general
multisystem or single organ system) and content of examination are selected by
the examining physician and are based upon clinical judgment, the patient’s his-tory,
and the nature of the presenting problem(s).
The content and documentation requirements for each type and level of ex-amination
are summarized here and described in detail in the tables that appear
later in this appendix. In the first table (see pp. 123), organ systems and body
areas recognized by CPT for purposes of describing examinations are shown
in the left column. The content, or individual elements, of the examination per-taining
to that body area or organ system are identified by bullets (•) in the right
column.

Parenthetical examples “(e.g., . . .)” have been used for clarification and to
provide guidance regarding documentation. Documentation for each element
must satisfy any numeric requirements (such as “Measurement of any three of
the following seven. . .”) included in the description of the element. Elements
with multiple components but with no specific numeric requirement (such as
“Examination of liver and spleen”) require documentation of at least one com-ponent.
It is possible for a given examination to be expanded beyond what is de-fined
here. When that occurs, findings related to the additional systems and/or
areas should be documented.
DG: Specific abnormal and relevant negative findings of the examination of the
affected or symptomatic body area(s) or organ system(s) should be documented.
A notation of “abnormal” without elaboration is insufficient.
DG: Abnormal or unexpected findings of the examination of any asymptomatic
body area(s) or organ system(s) should be described.
DG: A brief statement or notation indicating “negative” or “normal” is sufficient
to document normal findings related to unaffected area(s) or asymptomatic or-
gan system(s).
[DELETED: GUIDELINES FOR “GENERAL MULTI-SYSTEM EXAMINATIONS”]
SINGLE ORGAN SYSTEM EXAMINATIONS
The single organ system examinations recognized by CPT are described in detail.
[Authors’ note: We are only including the psychiatric examination.] Variations
among these examinations in the organ systems and body areas identified in the
left columns and in the elements of the examinations described in the right col-umns
reflect differing emphases among specialties. To qualify for a given level of
single organ system examination, the following content and documentation re-quirements
should be met:
• Problem focused examination—Should include performance and documen-tation
of one to five elements identified by a bullet (•), whether in a box with
a shaded or unshaded border.
• Expanded problem focused examination—Should include performance and
documentation of at least six elements identified by a bullet (•), whether in a
box with a shaded or unshaded border.
• Detailed examination—Examinations other than the eye and psychiatric exam-inations
should include performance and documentation of at least 12 elements
identified by a bullet (•), whether in box with a shaded or unshaded border.
Eye and psychiatric examinations should include the performance and doc-umentation
of at least nine elements identified by a bullet (•), whether in a box
with a shaded or unshaded border.

• Comprehensive examination—Should include performance of all elements
identified by a bullet (•), whether in a shaded or unshaded box. Documen-tation
of every element in each box with a shaded border and at least one el-ement
in each box with an unshaded border is expected.
CONTENT AND DOCUMENTATION REQUIREMENTS
[DELETED: CONTENT AND DOCUMENTATION REQUIREMENTS FOR
GENERAL MULTI-SYSTEM EXAMINATION AND ALL SINGLE-SYSTEM
REQUIREMENTS OTHER THAN PSYCHIATRY]
PSYCHIATRIC EXAMINATION
SYSTEM/
BODY AREA ELEMENTS OF EXAMINATION
Constitutional • Measurement of any three of the following seven vital signs:
1) sitting or standing blood pressure, 2) supine blood pressure,
3) pulse rate and regularity, 4) respiration, 5) temperature, 6) height,
7) weight (may be measured and recorded by ancillary staff)
• General appearance of patient (e.g., development, nutrition, body
habitus, deformities, attention to grooming)
Head and Face
Eyes
Ears, Nose, Mouth,
and Throat
Neck
Respiratory
Cardiovascular
Chest (Breasts)
Gastrointestinal
(Abdomen)
Genitourinary
Lymphatic
Musculoskeletal • Assessment of muscle strength and tone (e.g., flaccid, cog wheel,
spastic) with notation of any atrophy and abnormal movements
• Examination of gait and station
Extremities
Skin
Neurological

PSYCHIATRIC EXAMINATION (CONTINUED)
SYSTEM/
BODY AREA ELEMENTS OF EXAMINATION
Psychiatric • Description of speech, including rate, volume, articulation,
coherence, and spontaneity with notation of abnormalities (e.g.,
perseveration, paucity of language)
• Description of thought processes, including rate of thoughts; content
of thoughts (e.g., logical vs. illogical, tangential); abstract reasoning;
and computation
• Description of associations (e.g., loose, tangential, circumstantial,
intact)
• Description of abnormal or psychotic thoughts, including
hallucinations, delusions, preoccupation with violence, homicidal or
suicidal ideation, and obsessions
• Description of the patient’s judgment (e.g., concerning everyday
activities and social situations) and insight (e.g., concerning
psychiatric condition)
Complete mental status examination, including
• Orientation to time, place, and person
• Recent and remote memory
• Attention span and concentration
• Language (e.g., naming objects, repeating phrases)
• Fund of knowledge (e.g., awareness of current events, past history,
vocabulary)
• Mood and affect (e.g., depression, anxiety, agitation, hypomania,
lability)
CONTENT AND DOCUMENTATION REQUIREMENTS
LEVEL OF EXAMINATION PERFORM AND DOCUMENT
Problem focused One to five elements identified by a bullet.
Expanded problem focused At least six elements identified by a bullet.
Detailed At least nine elements identified by a bullet.
Comprehensive Perform all elements identified by a bullet; document
every element in each box with a shaded border and
at least one element in each box with an unshaded
border.
C. Documentation of the Complexity of Medical Decision Making
The levels of E/M services recognize four types of medical decision making:
straightforward, low complexity, moderate complexity, and high complexity.
Medical decision making refers to the complexity of establishing a diagnosis and/
or selecting a management option as measured by:

• the number of possible diagnoses and/or the number of management op-tions
that must be considered;
• the amount and/or complexity of medical records, diagnostic tests, and/or
other information that must be obtained, reviewed, and analyzed; and
• the risk of significant complications, morbidity, and/or mortality, as well as
comorbidities, associated with the patient’s presenting problem(s), the diag-nostic
procedure(s) and/or the possible management options.
The following chart shows the progression of the elements required for each
level of medical decision making. To qualify for a given type of decision making,
two of the three elements in the table must be either met or exceeded.
Each of the elements of medical decision making is described below.
NUMBER OF DIAGNOSES OR MANAGEMENT OPTIONS
The number of possible diagnoses and/or the number of management options
that must be considered is based on the number and types of problems addressed
during the encounter, the complexity of establishing a diagnosis, and the man-agement
decisions that are made by the physician.
Generally, decision making with respect to a diagnosed problem is easier than
that for an identified but undiagnosed problem. The number and type of diag-nostic
tests employed may be an indicator of the number of possible diagnoses.
Problems that are improving or resolving are less complex than those that are
worsening or failing to change as expected. The need to seek advice from others is
another indicator of the complexity of diagnostic or management problems.
DG: For each encounter, an assessment, clinical impression, or diagnosis should
be documented. It may be explicitly stated or implied in documented decisions
regarding management plans and/or further evaluation.
• For a presenting problem with an established diagnosis, the record should
reflect whether the problem is a) improved, well controlled, resolving, or re-
solved or b) inadequately controlled, worsening, or failing to change as ex-p
ected.
• For a presenting problem without an established diagnosis, the assessment
or clinical impression may be stated in the form of differential diagnoses or
as a “possible,” “probable,” or “rule out” (R/O) diagnosis.
Number of
diagnoses or
management
options
Amount or
complexity of data
to be reviewed
Risk of complications
and/or morbidity or
mortality
Type of decision
making
Minimal Minimal or none Minimal Straightforward
Limited Limited Low Low complexity
Multiple Moderate Moderate Moderate complexity
Extensive Extensive High High complexity

DG: The initiation of, or changes in, treatment should be documented. Treat-
ment includes a wide range of management options including patient instruc-
tions, nursing instructions, therapies, and medications.
DG: If referrals are made, consultations requested, or advice sought, the record
should indicate to whom or where the referral or consultation is made or from
whom the advice is requested.
AMOUNT AND COMPLEXITY OF DATA TO BE REVIEWED
The amount and complexity of data to be reviewed are based on the types of di-
agnostic testing ordered or reviewed. A decision to obtain and review old med-
ical records and/or obtain history from sources other than the patient increases
the amount and complexity of data to be reviewed.
Discussion of contradictory or unexpected test results with the physician who
performed or interpreted the test is an indication of the complexity of data be-
ing reviewed. On occasion the physician who ordered a test may personally review
the image, tracing, or specimen to supplement information from the physician
who prepared the test report or interpretation; this is another indication of the
complexity of data being reviewed.
DG: If a diagnostic service (test or procedure) is ordered, planned, scheduled, or
performed at the time of the E/M encounter, the type of service (e.g., laboratory
work or X-ray) should be documented.
DG: The review of laboratory, radiology, and/or other diagnostic tests should be
documented. A simple notation such as “white blood cells elevated” or “chest X-
ray unremarkable” is acceptable. Alternatively, the review may be documented
by initialing and dating the report containing the test results.
DG: A decision to obtain old records or to obtain additional history from the
family, caretaker, or other source to supplement that obtained from the patient
should be documented.
DG: Relevant findings from the review of old records and/or the receipt of ad-
ditional history from the family, caretaker, or other source to supplement that
obtained from the patient should be documented. If there is no relevant infor-
mation beyond that already obtained, that fact should be documented. A no-
tation of “old records reviewed” or “additional history obtained from family”
without elaboration is insufficient.
DG: The results of discussion of laboratory, radiology, or other diagnostic tests with
the physician who performed or interpreted the study should be documented.
DG: The direct visualization and independent interpretation of an image, trac-
ing, or specimen previously or subsequently interpreted by another physician

RISK OF SIGNIFICANT COMPLICATIONS, MORBIDITY, AND/OR MORTALITY
The risk of significant complications, morbidity, and/or mortality is based on
the risks associated with the presenting problem(s), the diagnostic proce-dure(
s), and the possible management options.
DG: Comorbidities/Underlying diseases or other factors that increase the com-
plexity of medical decision making by increasing the risk of complications, mor-
bidity, and/or mortality should be documented.
DG: If a surgical or invasive diagnostic procedure is ordered, planned, or sched-
uled at the time of the E/M encounter, the type of procedure (e.g., laparoscopy)
DG: If a surgical or invasive diagnostic procedure is performed at the time of the
E/M encounter, the specific procedure should be documented.
DG: The referral for or decision to perform a surgical or invasive diagnostic pro-
cedure on an urgent basis should be documented or implied.
The table on p. 128 may be used to help determine whether the risk of sig-nificant
complications, morbidity, and/or mortality is minimal, low, moderate,
or high. Because the determination of risk is complex and not readily quantifi-able,
the table includes common clinical examples rather than absolute mea-sures
of risk. The assessment of risk of the presenting problem(s) is based on the
risk related to the disease process anticipated between the present encounter
and the next one. The assessment of risk of selecting diagnostic procedures and
management options is based on the risk during and immediately following any
procedures or treatment. The highest level of risk in any one category (presenting
problem[s], diagnostic procedure[s], or management options) determines the
overall risk.
D. Documentation of an Encounter Dominated by Counseling or
Coordination of Care
In the case in which counseling and/or coordination of care dominates (more
than 50%) the physician/patient and/or family encounter (face-to-face time in
the office or other or outpatient setting, floor/unit time in the hospital or nurs-ing
facility), time is considered the key or controlling factor to qualify for a par-ticular
level of E/M services.
DG: If the physician elects to report the level of service based on counseling and/
or coordination of care, the total length of time of the encounter (face-to-face or
floor time, as appropriate) should be documented, and the record should de-
scribe the counseling and/or activities to coordinate care.

TABLE OF RISK
(MODIFIED FOR PSYCHIATRY FROM THE 1997 CMS GUIDELINES)
LEVEL OF
RISK
PRESENTING
PROBLEM(S)
DIAGNOSTIC
PROCEDURE(S)
ORDERED
MANAGEMENT
OPTIONS SELECTED
Minimal 1 self-limited problem
(e.g., medication
side effect)
Laboratory tests
requiring
venipuncture
Urinalysis
Reassurance
Low 2 or more self-limited or
minor problems; or
1 stable chronic illness
(e.g., well-controlled
depressions); or
Acute uncomplicated ill-
ness (e.g., exacerbation
of anxiety disorder)
Psychological testing
Skull film
Psychotherapy
Environmental intervention
(e.g., agency, school,
vocational placement)
Referral for consultation
(e.g., physician, social
worker)
Moderate 1 or more chronic illnesses
with mild exacerbation,
progression, or side
effects of treatment; or
2 or more stable chronic
illnesses; or
Undiagnosed new
problem with
uncertain prognosis
(e.g., psychosis)
Electroencephalogram
Neuropsychological
testing
Prescription drug
management
Open-door seclusion
ECT, inpatient, outpatient,
routine; no comorbid
medical conditions
High 1 or more chronic illnesses
with severe
exacerbation,
progression, or side
effect of treatment (e.g.,
schizophrenia); or
Acute illness with threat
to life (e.g., suicidal or
homicidal ideation)
Lumbar puncture
Suicide risk assessment
Drug therapy requiring
intensive monitoring
(e.g., tapering diazepam
for patient in withdrawal)
Closed-door seclusion
Suicide observation
ECT; patient has comorbid
medical condition
(e.g., cardiovascular
disease)
Rapid intramuscular
neuroleptic
administration
Pharmacological restraint
(e.g., droperidol)

Appendix F
Vignettes for Evaluation and
Management Codes
OFFICE VISIT, NEW PATIENT
99203 A 27-year-old woman with a history of depression who is visiting the area is seen
in an initial office visit. She is currently under treatment in her hometown. His-tory
taking focuses on a review of her past psychiatric history, present illness, and
interval history since her last visit to her treating psychiatrist. Her medication his-tory
is reviewed, as is her side-effect history. A mental status examination focuses
on her current affective state, ability to attend and concentrate, and insight. A pre-scription
for an antidepressant is provided, along with education on its use and
129
side effects.
Explanation for code choice: Although a new patient to the examining psy-chiatrist,
this patient has an existing treatment source. The psychiatrist obtains
a detailed history and performs a detailed mental status examination. (A de-tailed
history requires a detailed [two to nine elements] review of symptoms.)
The provision of a prescription requires medical decision making of low com-plexity.
99205 A 38-year-old man brought by his parents for evaluation of paranoid delusions
and alcohol abuse is seen in an initial office visit. History taking focuses on the
family history of mental illness. The past medical and psychiatric history, his-tory
of present illness, and social history of the patient are taken. The results of
a mental status examination reveal a poorly groomed individual, poor eye con-tact,
no spontaneity to speech, flat affect, no hallucinations, paranoid delusions
about the police, no suicidal/homicidal ideation, and intact cognitive status.
The patient has no history of current medical problems. The patient denies
alcohol use. The parents are interviewed and provide a history of the patient
that includes at least 5 years of binge drinking. Routine blood studies are or-dered.
The patient’s vital signs are taken. A prescription for a neuroleptic is

given, and education about medication is provided to the patient and the parents.
Referrals to a dual-diagnosis treatment program and Alcoholics Anonymous are
made.
Explanation for code choice: This initial evaluation requires complex medical
decision making because of the psychotic symptoms in the context of alcohol
abuse. The psychiatrist must complete a comprehensive history and examination.
The comprehensive history includes a complete review of systems.
OFFICE VISIT, ESTABLISHED PATIENT
99213 A 42-year-old male established patient with a history of bipolar II disorder, last
seen 2 months prior, is seen for an office visit. Interval history taking focuses on
the presence/absence of symptoms, the patient’s level of social/vocational func-tion,
and the patient’s adherence to the medication regimen. A mental status
examination focuses on the patient’s affective state. The patient’s lithium blood
level is reviewed. The side effects of the medication are reviewed, and prescrip-tions
for the same medications are provided.
Explanation for code choice: In order to make a decision about medications,
the psychiatrist must do an expanded problem-focused history and examination.
An expanded problem-focused history includes one to three elements of a review
of systems. The actual medical decision to continue the medication regimen is of
low complexity.
HOSPITAL INPATIENT SERVICES—INITIAL HOSPITAL CARE
99221 A 32-year-old woman is seen for initial hospital care. The woman had been dis-charged
from the same psychiatric unit 3 days earlier after a 5-day stay precip-itated
by threats of suicide in the context of alcohol intoxication. The patient
had received diagnoses of adjustment disorder with depressed mood and sui-cidal
ideation, alcohol abuse, and mixed personality disorder with borderline
features. Her interval history revealed that the patient had returned home after
discharge from the hospital and within 24 hours became involved in verbally vi-olent
arguments with her husband, drank an unspecified amount of vodka, and
threatened to kill him. Her blood alcohol level in the emergency department is
160 mg/dL. The results of a physical examination are within normal limits, as
are the results of the remainder of the laboratory studies. The results of a tox-icology
screening are negative. The mental status examination reveals a patient
who is crying, angry, and accusing her husband of infidelity. She is difficult to
redirect, and her affect is labile and irritable. Her mood is depressed. She shows
no psychotic symptoms and is cognitively intact. She demonstrates little to no
insight. The patient is admitted to the hospital voluntarily. The social work staff
is asked to provide an evaluation of the husband and the family situation. Dis-charge
planning is begun.
Explanation for code choice: The lowest level of initial hospital care is ap-propriate
because this is a readmission with no change in the history database
and because the medical decision making is straightforward.

Vignettes for Evaluation and Management Codes 131
99222 A 40-year-old man discharged 12 days before the current admission with a di-agnosis
of schizophrenia had been given instructions to attend follow-up visits
at an outpatient clinic to monitor his neuroleptic medication. He now presents
with auditory hallucinations and paranoid ideation with violent thoughts toward
his neighbors. His interval history reveals that he never attended the outpatient
clinic and that he immediately discontinued taking the neuroleptic medication
after discharge. The patient’s brother reports that the patient’s symptoms re-appeared
4 days before the current admission. The patient also has a history of
diabetes mellitus controlled by oral medications and had discontinued taking
his diabetes medication. A mental status examination reveals a poorly groomed
individual with auditory hallucinations that are threatening toward the patient
and paranoid delusions that involve neighbors trying to hurt him. He admits to
violent thoughts toward his neighbors and states that he might have to harm or
kill them. He appears to be cognitively intact. A physical examination reveals a
moderately obese individual. The results of his laboratory studies are normal ex-cept
for an elevated glucose level. The results of repeat finger-stick tests indicate
glucose levels above 400 mg/dL. A new neuroleptic regimen is begun for the pa-tient.
The treatment team devises a strategy to help the patient’s family assist him
in adhering to this regimen after discharge.
Explanation for code choice: Although this case is also a readmission, the na-ture
of the presenting problem involves psychotic symptoms, violent thoughts, and
symptomatic diabetes. The level of history taking and examination are compre-hensive,
and the medical decision making is moderately complex.
99223 Initial psychiatric hospital services are provided for a 17-year-old female trans-ferred
from the medical intensive care unit after treatment for ingestion of a large
amount of acetaminophen and aspirin. Her family history reveals that her mother
and a maternal uncle have been treated for depression. The patient has been do-ing
poorly in school for 6 months and has been experimenting with drugs and
alcohol. She has been rebellious at home, and 2 months ago she reported that
she might be pregnant. One week before her admission, her boyfriend of 1 year
left her for another schoolmate. She has no history of significant medical or sur-gical
problems. Her last menstrual period was 3 weeks ago. The patient is admit-ted
voluntarily. A mental status examination reveals a barely cooperative, sullen
teenager whose speech is not spontaneous but is logical and coherent. She shows
no psychotic symptoms. The patient refuses to comment on current suicidal
thoughts or ideation. She is cognitively intact. The results of a physical examina-tion
and laboratory tests are all within normal limits. The social work staff is asked
to assess the patient’s family situation. The patient is placed on close observation
as a suicide precaution.
Explanation for code choice: Suicidal behaviors always require highly complex
medical decision making supported by a comprehensive history and comprehen-sive
mental status examination. Be sure to complete a full review of systems.
99223 Initial hospital care is provided for a 35-year-old woman with a 3-month his-tory
of withdrawn, bizarre behavior. Two days before her admission she became
disorganized and aggressive toward her family and started talking to herself. Her

family history reveals a maternal grandfather with a diagnosis of schizophrenia.
The patient had two prior episodes of psychosis and had received a diagnosis of
schizophrenia. She dropped out of treatment 5–6 months ago, and since then she
has not taken any medications. There are no current medical or surgical problems.
The patient is admitted involuntarily. The results of a mental status examina-tion
reveal the patient to be uncooperative and poorly groomed and to make
poor eye contact. Her speech is rambling and tangential. The patient appears to
be responding to internal stimuli and is easily distracted and blocked. Her affect is
flat and blunted. The patient is oriented to time, place, and person. The results
of a physical examination and laboratory tests are within normal limits. The pa-tient
is placed on every-15-minute observation status. She is assessed for neu-roleptic
treatment. The social work staff is asked to assess the family situation.
The occupational therapy/recreational therapy staff is asked to assess the patient’s
ability to perform activities of daily living.
Explanation for code choice: This is an example of a typical admission for a
patient with a major psychiatric disorder and severe acute symptoms. The his-tory
and mental status examination must be comprehensive. A complete review
of systems is required, and the medical decision making is highly complex.
99223 Initial hospital care is provided for an 8-year-old boy whose parents requested
admission because of a 1-week history of repeated attempts to cut and hit him-self.
The patient’s family history reveals that his father is in treatment for bipolar
disorder. The patient is the second of three children. The siblings are reported to
be doing well. The parents admit to having recent marital problems for which
they have sought counseling. The patient is described as generally well behaved but
moody with a bad temper. His schoolwork has been deteriorating for the past 3
months, and there have been reports of minor behavioral misconduct. One week
before admission, the parents denied the patient a puppy. Since then he has been
out of control and has been cutting, scratching, and hitting himself. A mental
status examination reveals a withdrawn, depressed-appearing child who an-swers
all questions with yes or no. He is cognitively intact. A physical examina-tion
reveals scratches and bruises over the patient’s arms and legs. The results of
laboratory studies are within normal limits. The social work staff is asked to begin
a family assessment. The patient is placed on close observation.
Explanation for code choice: The out-of-control self-harm behavior requires
highly complex medical decision making supported by a complete review of
systems and a comprehensive history and examination.
99223 Initial hospital care is provided for a 75-year-old man with a 2-month history of
depression, a 2-week history of auditory hallucinations, and recent suicidal ide-ation.
The patient has a history of diabetes mellitus and is dehydrated. The psy-chiatric
history focuses on past history of episodes of depression, family history of
depression, and the patient’s current social support system. A mental status ex-amination
reveals poor grooming, poor eye contact, lack of spontaneity, slowed
speech, psychomotor retardation, depressed affect, present suicidal ideation with
no plan, and auditory hallucinations telling the patient that he is no good. The pa-tient
is cognitively intact. The patient is admitted voluntarily. A medical consul-

tation is requested. Complete blood count, SMA-12, and thyroid laboratory tests
are ordered. The patient and the family are instructed about the probable need for
electroconvulsive therapy. The consent process for electroconvulsive therapy is
explained, and signatures are obtained. Exploration of discharge placement is be-gun.
The patient is placed on close observation as a suicide precaution.
Explanation for code choice: Severe depression with psychotic symptoms
and suicidal ideation in an elderly patient requires a comprehensive history and
examination as well as a complete review of systems. Treatment considerations,
taking into account medical comorbidities and including electroconvulsive
therapy, demand highly complex medical decision making.
HOSPITAL INPATIENT SERVICES—
SUBSEQUENT HOSPITAL CARE
99231 A 14-year-old female admitted for depression and suicidal ideation is seen in a
subsequent hospital visit. The patient has been in the hospital for 12 days and is
behaviorally stable. Her condition is improving. The attending psychiatrist in-terviews
the patient; meets with the treatment team; reviews notes prepared by
nursing, occupational therapy/recreational therapy, and social work staff; writes
an order for as-needed medication for headache; and writes the daily progress
note.
Explanation for code choice: This level of subsequent hospital care is appro-priate
because the patient is stable and approaching discharge. The medical de-cision
making for this day’s work is straightforward.
99232 A 36-year-old man admitted for hallucinations and delusions and now in his third
hospital day is seen for a subsequent hospital visit. The attending psychiatrist in-terviews
the patient, takes an interval history, does a mental status examination,
and then meets with the treatment team. The team reviews notes prepared by
nursing, occupational therapy/recreational therapy, and social work staff. The at-tending
psychiatrist orders an increase in the patient’s neuroleptic medication.
The attending psychiatrist discusses discharge planning with social work staff,
talks with the patient’s mother by phone, and writes the daily progress note.
Explanation for code choice: This example of subsequent hospital care is
typical of a mid-hospital-course day of work. The history and examination are
at the expanded problem-focused level, and the medical decision making is
moderately complex. The expanded problem-focused history requires one to
three elements of a review of systems.
99233 A 72-year-old man admitted for depression with suicidal ideation and paranoid
delusions is seen for a subsequent hospital visit. The patient is in his seventh
hospital day. The attending psychiatrist interviews the patient and does a men-tal
status examination, noting minor changes in orientation. The attending psy-chiatrist
meets with the treatment team and reviews notes prepared by nursing,
occupational therapy/recreational therapy, and social work staff. Although the
patient is taking antidepressants, the team does not believe the patient has shown

progress. His sleep and appetite are poor, and he must be encouraged to shower
and groom. The attending psychiatrist reviews discharge planning with social
work staff and writes the daily progress note. Later the same day the attending
psychiatrist is notified that the patient has become combative with staff and is
confused and disoriented. The attending psychiatrist returns to the unit and orders
as-needed lorazepam and open-door seclusion. The patient’s vital signs are taken,
and a modest increase in temperature is observed. The attending psychiatrist
orders a medical consultation and an evaluation for the fever and prepares an
addendum to the progress note.
Explanation for code choice: The reason the highest level of subsequent hos-pital
care is recommended in this case is the abrupt change in mental state re-quiring
a return to the unit and a detailed evaluation of the situation, with a
detailed examination and medical decision making of high complexity. Al-though
the subsequent hospital care codes require only two of the three key com-ponents,
it is not a bad idea to do a detailed (two to nine elements) review of
systems when using these codes.
OFFICE OR OTHER OUTPATIENT CONSULTATIONS
Note: As of January 1, 2010, Medicare does not reimburse for these codes. See
Chapter 4 for alternative coding.
99244 A 7-year-old boy referred by his pediatrician is seen in an initial office consultation.
The patient was referred because of his short attention span, easy distractibility,
and hyperactivity. The history taken during the parents’ interview focuses on the
patient’s family history and psychosocial context, the mother’s pregnancy, the pa-tient’s
early childhood development, and the parents’ description of the onset and
progression of the symptoms and behaviors. The mental status examination fo-cuses
on the patient’s affective state, ability to attend and concentrate during the
evaluation and observation, and behavior during the session. The patient is sched-uled
for neuropsychological testing and a return visit with his parents.
Explanation for code choice: The consultation requires a comprehensive
history and examination. The medical decision making is moderately complex.
Do not forget that a review of systems is required.
99245 An 81-year-old woman referred by her internist is seen in an initial office con-sultation
for evaluation of her mental state. Her family had reported her activity
as being markedly decreased and that she was having difficulty maintaining inde-pendent
self-care. The patient’s history reveals that she has congestive heart fail-ure
and chronic obstructive pulmonary disease that is in fair control. She had two
episodes of depression in her 50s and was treated successfully with antidepres-sants.
The patient reports feelings of general malaise, loss of interest, trouble sleep-ing,
decreased appetite, and problems with memory over a 4-week period. The
patient denies awareness of an inability to maintain her home or independent self-care.
A mental status examination reveals a poorly groomed, cooperative woman

with moderate psychomotor retardation and no speech abnormalities. She ap-pears
sad and expresses feelings of depression and has flat affect. Her Mini-Mental
State Examination score is 25 of 30 points, with poor recall, attention and con-centration
deficits, and distortion of figure drawing. A family member is inter-viewed
and confirms most of the history. Neuropsychological testing is ordered,
and the patient’s case is discussed with the referring physician.
Explanation for code choice: This case involves mental disorder with signif-icant
comorbid medical conditions. The medical decision making is highly
complex, supported by a comprehensive history and examination. The history
must include a complete review of systems.
INITIAL INPATIENT CONSULTATIONS
Note: As of January 1, 2010, Medicare does not reimburse for these codes. See
Chapter 4 for alternative coding.
99253 An initial hospital consultation is provided for a 35-year-old woman referred by
obstetrics/gynecology staff after she had a normal vaginal delivery and had
asked to talk to a psychiatrist about feelings of depression. A review of her chart
reveals an uncomplicated neonatal course and a normal delivery of a healthy
baby girl. History taking focuses on symptom onset and progression and the
patient’s current family/social context. The patient reports that her husband is
out of work and is drinking and arguing with her frequently. Two other children
are doing well. A mental status examination reveals a cooperative, friendly in-dividual
with normal speech, moderately depressed mood (which she relates to
her marital stress), full affect, and no psychotic or anxiety symptoms. She is
cognitively intact. Her insight is fair, and her judgment is intact. Her desire for
marital counseling is supported, and she is given a referral for this service.
Explanation for code choice: This consultation for a medically stable patient
required a detailed history and examination. The medical decision making is of
low complexity. The history must include a detailed review of systems (two to
nine elements).
99254 An initial hospital consultation is provided for a 19-year-old female referred by
department of medicine staff after treatment for ingestion of acetaminophen
and alcohol. A review of her chart reveals that symptomatic management was
used to treat ingestion of alcohol (her blood alcohol level was 120 mg/dL) and a
nonlethal amount of acetaminophen. The patient has no history of medical or
surgical problems. History provided by the patient includes a recent breakup
with her boyfriend of 3 years, loss of her job, and fighting with her mother. Her
family history includes alcohol abuse by the father and two brothers. The patient
reports that she has experimented with street drugs, has used alcohol regularly
since age 16 years, and has had a history of binge drinking. There is no history of
blackouts or delirium tremens. The patient has no current legal problems. A
mental status examination reveals a cooperative individual with good eye con-

tact. She asks “When can I get out of here?” and states “I did a stupid thing.” The
patient is remorseful, and her affect is bright, with a moderate level of depres-sion.
She is cognitively intact. She expresses concerns about her boyfriend and
states that she probably needs some counseling. She agrees to treatment of al-cohol
abuse. The patient is cleared for discharge and given a referral to a com-munity
psychiatry program for dually diagnosed patients.
Explanation for code choice: The suicide attempt was committed impulsively,
and the patient is remorseful and ready for outpatient follow-up. A detailed his-tory
and examination are performed, and medical decision making is moder-ately
complex. The history must include a complete review of systems.
99255 An initial hospital consultation is provided for an 82-year-old man referred by
department of medicine staff because of bizarre behavior that resulted in his re-quiring
a sitter. The patient has high blood pressure, renal insufficiency, con-gestive
heart failure, and chronic obstructive pulmonary disease. He is taking
12 medications, including as-needed lorazepam and haloperidol for “behavioral
control.” Notes prepared by nursing staff indicate that the patient has periods of
lucidity intermixed with confused, uncooperative behavior, usually in the eve-nings.
The patient began receiving antibiotics in the previous 12 hours for a uri-nary
tract infection. The social worker reports that the patient lives with his wife
and was in good health and maintained a wide range of activities before this ad-mission.
The wife reports some slippage in the patient’s memory, but the patient
denies that there are any problems whatsoever. The mental status examination re-veals
the patient to be resting in his hospital bed and receiving intravenous flu-ids
and intranasal oxygen. The patient is irritable, and his irritability increases
during the course of the evaluation. He denies any psychological symptoms. The
patient knows who he is and where he is but does not know the day, the date, or
the month. He cannot do serial 7s. The patient reports having had a visit by sev-eral
of his children the night before, but nursing staff report no such visit took
place. The findings are reviewed with the nursing staff and the attending physi-cian.
Lorazepam is discontinued, and orientation strategies are discussed with the
nursing staff and the attending physician.
Explanation for code choice: This case is typical for an acute geriatric med-ical
admission: multiple comorbidities and multiple medications complicated
by delirium. The consulting psychiatrist must do a comprehensive history and
examination. The medical decision making is highly complex. The history must
include a complete review of systems.

Appendix G
Most Frequently Missed Items in
Evaluation and Management (E/M)
Documentation
137

PET1210 (05/07)
Medicare
National Government Services, Inc.
1333 Brunswick Avenue
Lawrenceville, New Jersey 08648
A CMS Contracted Agent
Most Frequently Missed Items in Evaluation and Management
(E/M) Documentation
History
ƒ History is too brief and lacks the reason for the encounter or minimal documentation
of the reason for the encounter.
ƒ Documentation for the Review of Systems is too minimal.
ƒ If billing for a Complete Review of Systems – either must individually document ten
(10) or more systems OR may document pertinent (some) systems and make the
statement in the progress note “all other systems negative.”
ƒ Lacks any documentation in support of why elements of the history or the entire
history was unobtainable; would also apply to documenting the work done to attempt
to obtain history from sources other than the patient if it was unobtainable from the
patient.
ƒ Insufficient documentation of the Past, Family and Social history; no reference to
dates or any documentation to support obtaining the information.
ƒ If you wish to refer to a Review of Systems and/or a PFSH documented in a progress
note of a previous date and update it with today’s information (e.g., unchanged from
ROS of 1/4/07 except patient has stopped smoking) – you must specifically indicate
the previous date you are referring to in today’s note and you must include a
photocopy of the previous ROS or PFSH you have referred to if you are asked to send
documentation for today’s note. Make sure your staff is also aware of this if they will
photocopy and send documentation to Medicare.
Physical Exam
ƒ Physical exam documentation is too brief.
ƒ 1997 Specialty exams, billed at the comprehensive level, do not meet all of the
required elements for that level.
ƒ For the 1995 Comprehensive exam – required to count ONLY organ systems and not
body areas; must be eight (8) or more organ systems only.
ƒ Can choose to perform and document either the 1995 or 1997 physical exam but
findings show that most physicians do better with documentation based upon the
1995 guidelines.

Medical Decision Making
ƒ Lack of sufficient evidence that labs, X-rays, etc., were performed to credit in this
section (Amount and/or Complexity of Data Reviewed or in Table of Risk of
Complications and/or Morbidity or Mortality).
ƒ Lack of sufficient documentation of items which could be credited to Reviewed Data
(Amount and/or Complexity of Data Reviewed) such as the decision to obtain old
records or obtain history from someone other than the patient, review and
summarization of old records, discussion of case with another health care provider.
ƒ Remember, in this section, need only two (2) elements of the three and need only the
highest, single item available and appropriate in one box of the chart for Risk of
Complications and/or Morbidity or Mortality.
Time Based Codes
ƒ In choosing a code based upon time for counseling and coordination of care, total
time may be documented but there is not quantification that more than 50 percent of
the time was spent on counseling and there is also no documentation of what the
coordination of care was or what the counseling was.
ƒ No documentation of time for critical care.
ƒ No documentation of time for discharge day management.
General
ƒ Missing the order for a consultation in hospitals and SNFs.
ƒ Illegible documentation.
ƒ Lack of a physician signature on the note.
ƒ Missing patient names.
ƒ Incorrect dates of service.
ƒ Lack of any note for a billed date of service.
ƒ Lack of the required two (2) or three (3) key elements to bill an E/M service.
PET1210 (05/07)

E+M Coding Guidelines

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E+M Coding Guidelines