For each nonpayable functional G-code, one of the modifiers listed below must be used to report the severity/complexity for that functional limitation.
Modifier Impairment Limitation Restriction
0 percent impaired, limited or restricted
At least 1 percent but less than 20 percent impaired, limited or restricted
At least 20 percent but less than 40 percent impaired, limited or restricted
At least 40 percent but less than 60 percent impaired, limited or restricted
At least 60 percent but less than 80 percent impaired, limited or restricted
At least 80 percent but less than 100 percent impaired, limited or restricted
100 percent impaired, limited or restricted
The severity modifiers reflect the beneficiary’s percentage of functional impairment as determined by the clinician furnishing the therapy services.
G. Required Reporting of Functional G-codes and Severity Modifiers
The functional G-codes and severity modifiers listed above are used in the required reporting on therapy claims at certain specified points during therapy episodes of care. Claims containing these functional G-codes must also contain another billable and separately payable (non-bundled) service. Only one functional limitation shall be reported at a given time for each related therapy plan of care (POC).
Functional reporting using the G-codes and corresponding severity modifiers is required reporting on specified therapy claims. Specifically, they are required on claims:
• At the outset of a therapy episode of care (i.e., on the claim for the date of service (DOS) of the initial therapy service);
• At least once every 10 treatment days, which corresponds with the progress reporting period;
• When an evaluative procedure, including a re-evaluative one, ( HCPCS/CPT codes 92521, 92522, 92523, 92524, 92597, 92607, 92608, 92610, 92611, 92612, 92614, 92616, 96105, 96125, 97001, 97002, 97003, 97004) is furnished and billed;
• At the time of discharge from the therapy episode of care–(i.e., on the date services related to the discharge [progress] report are furnished); and
• At the time reporting of a particular functional limitation is ended in cases where the need for further therapy is
• At the time reporting is begun for a new or different functional limitation within the same episode of care (i.e., after the reporting of the prior functional limitation is ended)
Functional reporting is required on claims throughout the entire episode of care. When the beneficiary has reached his or her goal or progress has been maximized on the initially selected functional limitation, but the need for treatment continues, reporting is required for a second functional limitation using another set of G-codes. In these situations two or more functional limitations will be reported for a beneficiary during the therapy episode of care. Thus, reporting on more than one functional limitation may be required for some beneficiaries but not simultaneously.
When the beneficiary stops coming to therapy prior to discharge, the clinician should report the functional information on the last claim. If the clinician is unaware that the beneficiary is not returning for therapy until after the last claim is submitted, the clinician cannot report the discharge status.
When functional reporting is required on a claim for therapy services, two G-codes will generally be required.
Two exceptions exist:
1. Therapy services under more than one therapy POC-- Claims may contain more than two nonpayable functional G-codes when in cases where a beneficiary receives therapy services under multiple POCs (PT, OT, and/or SLP) from the same therapy provider.
2. One-Time Therapy Visit-- When a beneficiary is seen and future therapy services are either not medically indicated or are going to be furnished by another provider, the clinician reports on the claim for the DOS of the visit, all three G-codes in the appropriate code set (current status, goal status and discharge status), along with corresponding severity modifiers.
Each reported functional G-code must also contain the following line of service information:
• Functional severity modifier
• Therapy modifier indicating the related discipline/POC -- GP, GO or GN -- for PT, OT, and SLP services, respectively
• Date of the related therapy service
• Nominal charge, e.g., a penny, for institutional claims submitted to the A/B MACs (A). For professional claims, a zero charge is acceptable for the service line. If provider billing software requires an amount for professional claims, a nominal charge, e.g., a penny, may be included.
NOTE: The KX modifier is not required on the claim line for nonpayable G-codes, but would be required with the procedure code for medically necessary therapy services furnished once the beneficiary’s annual cap has been reached.