Place of Service Codes: A Complete Guide to CMS, Telehealth, Facility & Non-Facility POS Codes

Place of service codes in medical billing indicate where the service/treatment is provided. These codes indicate whether the patient received healthcare services in a facility or non-facility setting, allowing health insurance companies to reimburse accordingly.

These are two-digit numeric codes used on the claim forms (CMS-1500) or in the electronic 837P format during claim submission. Incorrect or outdated place-of-service codes can lead to claim rejections and denials.

In this guide, we explain updated CMS POS codes, telehealth, facility, non-facility, and common place-of-service codes such as 22, 21, 19, 10, and more, so you can understand each one and use the right code for faster reimbursement.

What is a Place of Service (POS) Code?

A place of service (POS) code is a two-digit code that represents where the services are rendered for patient care. It helps ensure reimbursements are received accurately and on time. Each payer also has its own terms and rules for using these POS codes; for example, Medicare accepts POS 10 for a patient’s home visit, while commercial payers accept POS 11 paired with a telehealth modifier.

Complete Place of Service Codes List

Let’s break down a complete place of service codes list with a short description of each; this helps you understand when to apply these codes.

Codes	Descriptions
POS 02	For telehealth services when the patient is not at home.
POS 10	For telehealth services when the patient is at home.
POS 11	For outpatient services delivered in the physician’s clinic, private practice, or other office setting.
POS 12	For an in-person, face-to-face visit at the patient’s home.
POS 19	For off-campus outpatient hospital services.
POS 20	For healthcare services provided in urgent care facility centers.
POS 21	For inpatient hospital services.
POS 22	For on-campus outpatient hospital services.
POS 23	For emergency care services provided in a hospital.
POS 24	For healthcare services provided in an Ambulatory Surgical Center (ASC).
POS 31	For skilled nursing facility (SNF) care or rehabilitation services under Medicare Part A benefits.
POS 32	For nursing facility care (long-term care) when Medicare Part A benefits have ended or never applied.
POS 49	For independent clinic services.
POS 65	For dialysis services provided in an End Stage Renal Disease (ESRD) Treatment facility.
POS 71	For healthcare services provided in a public health clinic maintained by a state.
POS 72	For medical services delivered in a rural health clinic.

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Detailed Breakdown of Place of Service Codes

Here is a detailed breakdown of place of service codes in medical billing with examples to help you understand them better for faster, more accurate reimbursements.

POS 02 — Telehealth Service (Not at Home)

The code is used when a physician or virtual provider delivers telehealth services at an outpatient setting other than the patient’s home. Telehealth billing services can help ensure these encounters are reported with the appropriate place of service code.

For example: If the patient stays at the college, workplace, hospital, clinic, or any other place except their residence, use POS 02.

POS 10 — Telehealth Service (At Home)

When the provider delivers telehealth services at the patient’s residence or home, use POS 10 during claim submission.

For example: The patient joins the video call from their own place. It often pays at a higher non-facility rate.

POS 11 — Outpatient Services in Office Setting

POS 11 indicates that the outpatient or ambulatory care services are delivered to the patient in an office setting.

For example: The patient visits the physician’s private clinic or doctor’s office for a minor procedure (like a skin biopsy) and goes home the same day.

POS 12 — In-Person Service at Patient’s Home

POS 12 is used when the provider reached the patient’s home and delivered face-to-face or in-person care. Telehealth services are not covered in the POS code.

For example: Home health, nursing care, or therapy services are delivered at the patient’s home; a face-to-face visit.

POS 19 — Off-Campus Outpatient Hospital Service

When the provider delivers the service outside the hospital facility, outside approximately a 250-yard radius of the main facility, use POS 19.

For example: The provider delivers rehabilitation, diagnostic, or therapeutic service to a patient outside the main hospital facility campus.

POS 20 — Urgent Care Facility Center

POS 20 indicates the non-emergency services provided at urgent care facility centers, rather than a hospital setting.

For example: A patient visits the doctor in an urgent care center for minor treatments such as sprains, minor cuts, or flu symptoms.

POS 21 — In-Patient Hospital Service

Use POS 21 when the provider keeps the patient in a hospital setting for at least one night.

For example: A surgeon performs a post-operative evaluation on a patient recovering from a surgical unit after cardiac bypass.

POS 22 — On-Campus Outpatient Hospital Service

POS 22 indicates outpatient service provided in an on-campus hospital facility when the patient is not admitted.

For example: A cardiologist sees a patient in a hospital private clinic, but does not admit them.

POS 23 — Emergency Care Service

POS 23 indicates emergency care services provided in a licensed hospital setting.

For example: A patient visits a hospital emergency department with severe chest pain.

POS 24 — Ambulatory Surgical Center Service

POS 24 in medical billing refers to the ambulatory surgical center service, meaning the service is delivered in an outpatient surgical setting.

For example: Endoscopy or cataract surgery delivered to a patient the same day without admission to an ASC.

POS 31 — Skilled Nursing Facility

Use POS 31 when the skilled nursing facility services are delivered daily to the patient, and Medicare Part A covers this service.

For example: Patient required therapy or nursing care after leaving a hospital.

POS 32 — Nursing Care Services

POS 32 indicates nursing care services, which are long-term care provided to the patient and are not covered under Medicare Part A benefits.

For example: A patient requires skilled nursing care, rehabilitation, or regular health-related care above basic custodial help.

POS 49 — Independent Clinic Services

Use POS 49 when rehabilitation, therapeutic, preventive, or diagnostic services are delivered in an independent clinic not affiliated with a hospital system.

For example: A patient visits a private dermatology clinic for skin tag removal.

POS 65 — ESRD Treatment Facility

POS 65 indicates the dialysis services delivered at the End-Stage Renal Disease (ESRD) treatment facility.

For example: A patient with chronic kidney disease visits an independent ESRD center for their scheduled hemodialysis treatment.

POS 71 — Public Health Clinic Service

POS 71 is used when a patient visits a public health clinic run by a state or local center and receives medical service/treatment on the same day as the visit.

For example: Patient visit for an evaluation and diagnostic (E/M) service at a public health clinic.

POS 72 — Rural Health Clinic Service

POS 72 indicates that a patient received a service/treatment at a rural health clinic located in a rural area under a medically reserved area.

For example: A patient receives a routine check-up from a certified rural health clinic.

Facility vs. Non-Facility Place of Service Codes

Place of service codes in medical billing fall into two types: facility codes and non-facility codes. Both matter because they indicate reimbursement rates, which directly affect practice revenue.

Here’s how it directly affects reimbursements;

Facility POS codes are those that indicate that the service is provided in a facility setting — meaning in a hospital, ESRD facility, urgent care center, ASC, or emergency room. In this scenario, the provider often receives a lower reimbursement rate because the service is billed separately. The facility setting owns medical equipment, supplies, staff, and utilities and bills for them, so the facility absorbs the operational costs.

Examples of Facility POS codes include POS 21, 22, 23, and 24.

Non-facility POS codes are those that indicate a service is provided in a private setting, where the provider or practice covers all operational and professional services expenses. For these services, providers often receive higher reimbursement rates because there’s no separate bill for medical equipment or staff.

Examples of non-facility POS codes include POS 11, 12, and 49.

What POS Coding Mistakes Can Cause Claim Denials?

There are various POS coding mistakes that can cause claim denials, but some of the common ones include;

Wrong POS codes are applied.
Payer billing requirements change every year; an outdated POS code can cause denial.
Confused between telehealth POS codes; using 02 instead of 10 leads to rejection.
POS codes don’t match CPT procedure codes, as some services are payable only in specific settings.
The POS code mismatches with the provider or facility documents or information already in the payer’s records.

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Frequently Asked Questions

What are place of service codes in medical billing?

The place of service codes in medical billing refer to the two-digit codes that indicate where the service is provided, either in the facility setting or non-facility setting, and help insurance companies understand better and reimburse accurately.

Does the place of service code affect medical billing reimbursement?

Yes, place of service codes directly affect medical billing reimbursements, as facility and non-facility rates differ. If the service is provided in the facility setting, then it bills separately: the operational cost and the physician professional service fee, which often have lower reimbursement rates. The non-facility setting indicates that the operational and professional components are both owned by a provider or practice, and often have higher reimbursement rates.

Are POS codes the same as CPT codes?

No, POS codes are two-digit numeric codes that indicate where the service or treatment is performed, while CPT codes are five-digit numeric codes that indicate what procedure or service is delivered to the patient. However, they are both used on the claim form (CMS-1500) to help providers receive reimbursements accurately and on time.

Are POS codes the same as ICD-10 codes?

No, ICD-10 codes are the diagnostic codes that indicate why the service or treatment is performed (the reason behind the service), while POS indicates the place or setting, meaning where the service is performed.

What is the difference between POS 19 and POS 22?

POS 19 indicates that the service is performed off-campus, meaning the outpatient department is located away from the hospital’s main campus. POS 22 indicates that the service is performed on-campus, meaning the outpatient department is located on the hospital’s main campus.

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