What is the primary purpose of CPT coding in healthcare?

The primary purpose of CPT coding in healthcare is to ensure accurate reporting and reimbursement for services rendered. CPT codes provide a standardized system for describing medical, surgical, and diagnostic services and procedures. This standardization is essential for the billing process, as it allows healthcare providers to communicate effectively with insurers about the specific services that were performed.

Accurate coding is crucial because it directly impacts the reimbursement that providers receive for their services. If a service is not coded correctly, it may lead to delays in payment or even denial of claims, which can adversely affect the financial health of a healthcare practice. Furthermore, precise CPT coding helps maintain consistency in healthcare practices and can contribute to quality reporting and statistical data collection, benefiting the healthcare system as a whole.