In CPT coding, what does the term "unbundling" refer to?

Unbundling refers to the practice of separating components of a service that should be billed together into multiple individual codes. This is often done in cases where a comprehensive service is typically regarded as a single procedure or package, but the provider might code it in a way that breaks it down into distinct parts to increase overall reimbursement.

In the context of CPT coding, unbundling is discouraged as it can lead to improper billing practices and can be viewed as an attempt to maximize payment at the expense of compliance with coding guidelines. For example, if a surgical procedure involves several standard components that are usually represented by a global code, coding each aspect of the procedure with separate codes may not only violate coding guidelines but can also trigger audits or claim denials.

Therefore, the correct answer accurately captures the essence of unbundling in CPT coding, emphasizing the need to package related services correctly to ensure appropriate billing practices and adherence to coding standards.