Physical therapy CPT codes are used on virtually every visit to describe evaluations and treatment interventions to insurers. Each code carries an official AMA definition, relative value units, and sometimes strict time requirements. Therapists must match the code to both the clinical service and payer rules, ensuring that documentation clearly supports medical necessity and skilled involvement throughout the session.
How Physical Therapy Codes Organize Evaluations and Treatments
Evaluation codes such as 97161, 97162, and 97163 classify new patient assessments by complexity, rather than time alone. Treatment codes like 97112 CPT code physical therapy or 97530 describe specific skilled interventions. When clinics consistently differentiate evaluation from treatment, they avoid double-billing assessment time and can clearly show progression from initial findings to targeted interventions across the episode of care.
Timed Versus Untimed Codes and Their Billing Impact
Timed codes, typically billed in 15-minute units, require at least eight minutes of direct contact to report one unit under Medicare’s 8-minute rule. Untimed codes, such as 97161, are billed once per session regardless of minutes spent. Misclassifying a timed modality or therapeutic activity as untimed can trigger overpayment determinations, while undercounting billable units directly reduces legitimate reimbursement for the clinic.

