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Pulmonology Medical Billing & Coding Guide (2026)

Pulmonology Medical Billing & Coding Guide

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Simplify Processes, Maximize Reimbursements, Empower Care

Pulmonology is a specialized branch of medicine focused on the diagnosis, treatment, and management of diseases affecting the respiratory system — including the lungs, bronchial tubes, and related structures. Pulmonologists treat a wide range of conditions such as asthma, chronic obstructive pulmonary disease (COPD), pneumonia, pulmonary fibrosis, sleep apnea, and lung cancer. 

Pulmonology medical billing and coding involves the accurate assignment of Current Procedural Terminology (CPT) codes, ICD-10-CM diagnosis codes, and appropriate modifiers to represent services provided during patient encounters. Due to the complexity of pulmonary procedures and diagnostic testing, coding accuracy is essential to ensure proper reimbursement and maintain regulatory compliance. 

This guide covers the key CPT codes, ICD-10-CM diagnosis codes, modifier usage, documentation requirements, and common billing mistakes in pulmonology coding for 2026. 

Partner with Neolytix to bring precision, efficiency, and expertise to your pulmonology billing operations. 

Scope of Pulmonology Services

Pulmonology practices provide a variety of diagnostic, procedural, and therapeutic services across outpatient clinics, hospitals, and specialized pulmonary laboratories. Common pulmonology services include: 

  • Pulmonary function testing (PFT) 
  • Bronchoscopy procedures 
  • Respiratory therapy treatments 
  • Sleep study evaluation and management 
  • Critical care services 
  • Management of chronic respiratory conditions 
  • Lung cancer screening and evaluation 
  • Thoracentesis and pleural procedures 

Each service requires precise documentation and correct coding to demonstrate medical necessity. 

Common Pulmonology CPT Codes (2026)

Pulmonary Function Testing (PFT)

Pulmonary function tests measure lung performance and are essential for diagnosing and monitoring respiratory conditions. All PFT claims require both technical performance and a signed physician interpretation report — without the interpretation component, many payers will deny payment. 

CPT Code 

Description 

94010 

Spirometry, including graphic record 

94060 

Spirometry with bronchodilator administration 

94726 

Lung volume measurement 

94729 

Diffusion capacity testing 

94618 

Pulmonary stress testing 

Bronchoscopy Procedures

Bronchoscopy allows physicians to visually examine the airways and obtain diagnostic samples. Code selection depends on the specific procedures performed during the examination. When multiple procedures are performed in the same bronchoscopy session, NCCI bundling edits must be reviewed to determine whether services are separately billable. 

CPT Code 

Description 

31622 

Diagnostic bronchoscopy 

31623 

Bronchoscopy with brushing or protected washing 

31624 

Bronchoscopy with bronchoalveolar lavage 

31625 

Bronchoscopy with bronchial or endobronchial biopsy 

31628 

Bronchoscopy with transbronchial lung biopsy 

Respiratory Therapy and Treatment

CPT Code 

Description 

94640 

Inhalation treatment for acute airway obstruction 

94664 

Demonstration and evaluation of patient inhaler technique 

94667 

Chest physiotherapy 

Thoracentesis and Pleural Procedures

Thoracentesis involves removing fluid from the pleural space for diagnostic or therapeutic purposes. Code selection depends on whether imaging guidance was used — documentation must specify this clearly. 

CPT Code 

Description 

32554 

Thoracentesis, without imaging guidance 

32555 

Thoracentesis, with imaging guidance 

Evaluation & Management (E&M) Services

Pulmonologists frequently bill E&M codes for evaluation and management of chronic and acute respiratory conditions. Under current CMS guidelines, E&M level selection is based on either Medical Decision Making (MDM) or total time spent on the date of service. 

CPT Code 

Description 

99202–99205 

New patient office visits 

99212–99215 

Established patient office visits 

99291 

Critical care services 

Common ICD-10-CM Codes in Pulmonology (2026)

Diagnosis codes must accurately reflect the patient’s respiratory condition and support the medical necessity of all diagnostic tests and procedures ordered. 

ICD-10-CM Code 

Description 

J45.909 

Asthma, unspecified 

J44.9 

Chronic obstructive pulmonary disease (COPD), unspecified 

J18.9 

Pneumonia, unspecified organism 

R06.02 

Shortness of breath 

G47.33 

Obstructive sleep apnea 

J84.10 

Pulmonary fibrosis, unspecified 

Modifiers Used in Pulmonology Billing (2026)

Modifier 

Description 

25 

Significant, separately identifiable E&M service on the same day as a procedure 

26 

Professional component only (e.g., physician interpretation of PFT or imaging) 

TC 

Technical component only 

59 

Distinct procedural service — used to bypass NCCI bundling edits 

76 

Repeat procedure performed by the same physician 

Modifier 26 in Pulmonology: When pulmonary function testing or bronchoscopy is performed in a hospital or shared facility setting, the interpreting physician bills Modifier 26 to indicate the professional interpretation component only. The facility or technical provider bills Modifier TC for the equipment and performance component. 

Pulmonology Coding & Billing Guidelines

Pulmonary Function Test Billing Rules

PFT claims must include both the technical performance of the test and a signed physician interpretation. The physician’s report should clearly document the clinical significance of the results and how findings support the diagnosis or treatment plan. Without this interpretation on file, payers will commonly deny PFT claims outright. 

Bronchoscopy Coding Guidelines

Bronchoscopy code selection depends on the specific procedures performed during the session — diagnostic examination, biopsy, lavage, or brushing each map to distinct CPT codes. When multiple procedures are performed during the same bronchoscopy, always review NCCI edits before billing multiple codes. Some combinations are bundled; others are separately reportable with Modifier 59. 

Thoracentesis Billing Guidelines

Thoracentesis is coded based on whether imaging guidance was used. CPT 32554 applies without imaging; CPT 32555 applies with imaging guidance. Procedure notes must clearly specify whether imaging was utilized to support the selected code. 

Documentation Requirements for Pulmonology Billing

Complete, encounter-level documentation is essential for coding accuracy, medical necessity support, and payer compliance. Clinical records should include: 

  • Chief complaint and presenting respiratory symptoms 
  • Relevant patient history and comorbid conditions 
  • Results of pulmonary diagnostic testing 
  • Signed physician interpretation of all test results 
  • Detailed procedure notes with technique and findings 
  • Treatment plan and follow-up recommendations 

For pulmonary function tests specifically, the physician’s interpretation report is a required billing component — not optional documentation. 

Compliance and Regulatory Considerations

Pulmonology billing must comply with CMS billing regulations and Local Coverage Determinations (LCDs) for pulmonary diagnostic testing, NCCI edits for bronchoscopic and multi-procedure claims, and payer-specific medical necessity requirements. Pulmonary practices should regularly review payer policies related to diagnostic testing and respiratory procedures to maintain compliance and reduce audit exposure. 

Common Pulmonology Billing Denials

Lack of Medical Necessity

Payers may deny pulmonary function tests and other diagnostic procedures if the clinical documentation does not clearly demonstrate that testing was medically necessary. Ensure that the presenting symptoms, diagnosis, and clinical rationale for testing are all documented before billing. 

Missing Physician Interpretation

Pulmonary diagnostic tests — particularly PFTs — require a physician interpretation to be billable. Claims submitted without a documented interpretation report are routinely denied. The interpretation must be signed by the interpreting physician and present in the record at the time of billing. 

Incorrect Modifier Usage

Failure to apply Modifier 26 or TC when billing professional or technical components separately results in claim rejection. Verify which component the practice is billing and apply the correct modifier before submission.

Bronchoscopy Bundling Errors

Certain bronchoscopic procedure combinations are bundled under NCCI edits and cannot be billed separately without the appropriate modifier. Reviewing NCCI edit pairs before submitting multi-procedure bronchoscopy claims is essential to avoid denials. 

Preventive Strategies to Reduce Pulmonology Denials

  • Ensure signed physician interpretation is documented for all pulmonary diagnostic tests before claim submission 
  • Verify payer coverage policies and LCD requirements before performing specialized testing 
  • Conduct regular coding audits focused on PFT, bronchoscopy, and E&M accuracy 
  • Monitor denial trends and implement targeted corrective actions 
  • Provide ongoing training for coding and billing staff on NCCI edits and modifier usage 

Pulmonology Billing Workflow

  1. Patient Registration & Insurance Verification — Collect demographics, confirm coverage, and verify authorization requirements 
  2. Clinical Evaluation & Documentation — Document presenting symptoms, history, and clinical findings
  3. Diagnostic Testing or Procedures — Perform and document all services rendered
  4. Medical Coding — Assign CPT, ICD-10-CM, and modifier codes based on documentation
  5. Claim Submission — Submit claims electronically to payers
  6. Payment Processing & Posting — Post insurance payments to patient accounts
  7. Denial Management & Appeals — Review denied claims, identify root causes, correct, and resubmit
  8. Revenue Reporting & Compliance Monitoring — Track performance metrics and audit billing accuracy 

Pulmonology Coding Scenario: Spirometry with Bronchodilator

A patient presents with persistent shortness of breath and undergoes spirometry testing with bronchodilator administration to evaluate for reversible airflow obstruction. 

CPT Code: 

CPT Code 

Description 

94060 

Spirometry with bronchodilator administration 

ICD-10-CM Code: 

ICD-10-CM Code 

Description 

J45.909 

Asthma, unspecified 

The medical record must include the presenting respiratory symptoms, spirometry results with pre- and post-bronchodilator measurements, and the physician’s signed interpretation of the test findings. 

How Neolytix Supports Pulmonology Practices

Pulmonology billing requires a comprehensive understanding of respiratory procedures, diagnostic testing requirements, physician interpretation rules, and payer-specific billing guidelines. From PFT interpretation documentation to bronchoscopy bundling rules and thoracentesis imaging distinctions, billing errors in this specialty directly affect reimbursement for high-cost diagnostic and procedural services. 

At Neolytix, we provide: 

  • Specialty-specific medical billing and coding for pulmonology practices 
  • Medical coding audit services to identify documentation gaps and reduce denial rates 
  • Revenue cycle management to improve collections and accelerate reimbursement 
  • Compliance support including NCCI edit review and LCD adherence for pulmonary testing 

With over 14 years of experience supporting healthcare organizations across the United States, Neolytix brings the expertise your pulmonology practice needs to stay compliant, reduce denials, and protect revenue. 

Schedule a Free Consultation to learn how we can optimize your pulmonology billing operations. 

Frequently Asked Questions

What CPT codes are used for pulmonary function testing?

The most commonly used PFT codes are 94010 (spirometry), 94060 (spirometry with bronchodilator), 94726 (lung volume measurement), and 94729 (diffusion capacity). Code selection depends on the specific tests performed. All PFT claims require a signed physician interpretation report for reimbursement.

Modifier 26 is used when a pulmonologist provides only the professional interpretation of a diagnostic test — such as a pulmonary function test or bronchoscopy — performed at a hospital or shared facility. The facility bills Modifier TC for the technical component. If the practice owns the equipment and provides both components, no modifier is required.

Bronchoscopy documentation must include the clinical indication, the specific procedures performed during the session (diagnostic, biopsy, lavage, brushing), findings, and any specimens submitted for pathology. When multiple procedures are performed, NCCI bundling edits must be reviewed to determine whether each service is separately billable.

CPT 32554 is used for thoracentesis performed without imaging guidance, and CPT 32555 is used when imaging guidance is employed. The procedure note must clearly document whether imaging was used to support the selected code.

The most frequent denials in pulmonology involve missing physician interpretation for PFTs, lack of documented medical necessity for diagnostic testing, incorrect or missing modifiers for professional and technical component billing, and NCCI bundling errors on bronchoscopy claims. Regular coding audits, pre-submission documentation review, and staff training on modifier and bundling rules are the most effective prevention strategies.