What is the difference between CPT codes and ICD codes?

The distinction between CPT codes and ICD codes is fundamental in medical billing and coding. CPT codes, which stand for Current Procedural Terminology, are specifically used to describe medical procedures and services performed by healthcare providers. These codes detail the various types of healthcare services provided, such as surgeries, consultations, and diagnostic tests. This system allows providers to report precisely what services they have delivered to patients, which is essential for billing purposes.

On the other hand, ICD codes, or International Classification of Diseases codes, are utilized to classify and describe diagnoses. These codes capture the reasons for patient encounters, which are critical for diagnostic reporting, tracking health statistics, and determining the necessity of procedures.

Understanding the roles of these two coding systems is vital in the healthcare industry, as they each serve distinct purposes and are submitted on different parts of insurance claims. By recognizing that CPT codes denote procedures and ICD codes denote diagnoses, healthcare providers can ensure accurate billing, proper reimbursement, and comprehensive documentation of patient care.