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Place of Service Code Reference

What each POS code means, when to use it, and how it changes what you get paid — one plain-English page per code.

Why Place of Service Codes Matter More Than They Look

The two-digit POS code on every professional claim tells the payer WHERE the service happened — and where decides how much you're paid. Office settings draw the higher non-facility rate because your practice carries the overhead; facility settings draw lower professional rates because the facility bills its own fee. That makes POS codes a payment variable, a compliance surface (billing office rates for facility services is a textbook overpayment finding), and — since telehealth split into POS 02 and 10 — a moving target that changed more in the last few years than in the previous twenty.

These guides cover the POS codes practices actually use, one page each: what the code identifies, when to use it and when not to, how it changes payment, and the errors payers audit for. More codes are added regularly — and if you're fighting the denials that POS errors cause, our denial code library picks up where these leave off.

POS Code Guides

POS 11
Office

POS 11 identifies services performed in a physician's office — a location owned or rented by the practice, not part of a hospital campus. It…

POS 02
Telehealth — Other Than Patient's Home

POS 02 identifies telehealth services delivered to a patient who is NOT at home — they're at a clinic, facility, school, or other site while…

POS 10
Telehealth — Patient's Home

POS 10 identifies telehealth services delivered while the patient is in their own home — the code that separated home telehealth from POS 02…

POS 12
Home (In-Person Services)

POS 12 identifies services delivered in person at the patient's private residence — house calls, home-based primary care, and many home heal…

POS 19
Off-Campus Outpatient Hospital

POS 19 identifies hospital outpatient department services at a location AWAY from the main hospital campus — the provider-based clinics hosp…

POS 21
Inpatient Hospital

POS 21 identifies services delivered to admitted hospital inpatients. Simple in concept — but the inpatient/observation line it shares with …

POS 22
On-Campus Outpatient Hospital

POS 22 identifies hospital outpatient services on the main campus — observation stays, hospital clinics, outpatient surgery in the hospital'…

POS 23
Emergency Room — Hospital

POS 23 identifies services in a hospital emergency department. ER professional billing carries its own E/M family, EMTALA context, and out-o…

POS 24
Ambulatory Surgical Center

POS 24 identifies procedures performed in a Medicare-certified ambulatory surgical center — the freestanding surgery centers where a growing…

POS 31
Skilled Nursing Facility (Part A Stay)

POS 31 identifies physician services to patients in a skilled nursing facility during a Medicare Part A covered stay. The Part A detail matt…

POS 32
Nursing Facility (Custodial / Non-Part A)

POS 32 identifies physician services to nursing facility residents NOT in a Medicare Part A skilled stay — the long-term custodial populatio…

POS 20
Urgent Care Facility

POS 20 identifies urgent care facility services — distinct from the office and the ER. It drives commercial case rates and the member's urgent care co…

POS 49
Independent Clinic

POS 49 is the catch-all for freestanding clinics that aren't offices, hospital departments, or specially designated centers. Defined by exclusion — an…

POS 50
Federally Qualified Health Center (FQHC)

POS 50 identifies FQHC services paid under encounter-based PPS rather than the fee schedule — G-codes, same-day encounter rules, and the errors that b…

POS 81
Independent Laboratory

Freestanding lab services — send-out specimen rules, who bills reference-lab tests, Medicare anti-markup restrictions, and the errors that trigger CO-16…

POS 34
Hospice

Hospice facility vs home hospice, the GV/GW modifiers every attending needs, and the CO-B9 denial after a missed hospice election…

POS 65
ESRD Treatment Facility

Dialysis billing — the facility bundle, the nephrologist monthly capitation tiers, and the 30-month coordination trap…

POS 53
Community Mental Health Center

CMHC place of service — why it pays the facility rate, and how it differs from POS 11, 52 and telehealth…

POS 61
Inpatient Rehabilitation Facility

IRF billing — the 3-hour intensity rule, who bills what, and the bundling traps between facility and professional claims…

POS 72
Rural Health Clinic

The all-inclusive-rate world — qualifying visits, same-day exceptions, carve-outs, and the silent underbilling leak…

More POS codes are added regularly. Need the full official list? CMS maintains the complete Place of Service code set — these guides cover the ones that decide real money in daily billing.

Frequently Asked Questions

What is a place of service (POS) code?
A two-digit code on every professional claim identifying where the service was performed — office, hospital, patient's home, telehealth, and so on. CMS maintains the code set, and payers use it to select payment rates and apply setting-specific rules.
Why does the same CPT code pay differently at different POS codes?
Because physician payment splits into facility and non-facility rates. In your office (POS 11) the rate includes your overhead; in facilities the facility bills its own fee, so the professional rate is lower. The POS code is what selects between them.
What's the difference between POS 02 and POS 10?
Both are telehealth — the difference is the patient's location. POS 10 means the patient was at home; POS 02 means anywhere else. Payment can differ between them, and the patient's location (not the provider's) always drives the choice.

Not sure this is the right code? Use the POS decision tree — two questions, and it shows the facility vs non-facility pay impact.

Hassan Raza AwanReviewed by Hassan Raza Awan, Founder — 4+ years of hands-on U.S. medical billing experience. General billing information — verify against current CMS guidance and your payer contracts.

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