What is the primary function of the CPT coding system?

The primary function of the CPT coding system is to describe medical procedures and services. Developed and maintained by the American Medical Association (AMA), the Current Procedural Terminology (CPT) coding system provides a standardized language for reporting medical, surgical, and diagnostic services and procedures. This standardization facilitates clear communication among healthcare providers, insurers, and other parties involved in patient care, ensuring that services rendered are accurately documented and billed.

By detailing the specific services and procedures performed, CPT codes play a critical role in the reimbursement process, as they give payers the information they need to understand what services were provided during a patient visit. Accurate CPT coding is essential for proper billing and can impact a provider’s revenue cycle, insurance claim approvals, and overall healthcare management, thereby underscoring the importance of this coding system in the healthcare industry.