What does the term "bundled codes" mean in procedural coding?

The concept of "bundled codes" in procedural coding refers to a single code that encapsulates a group of related procedures. This practice simplifies billing and coding processes by allowing healthcare providers to use one code instead of multiple codes for each individual procedure that might be performed together. By using bundled codes, it reflects the understanding that certain services are usually done together and thus often wouldn't be billed separately.

This approach is beneficial in managing costs and reducing administrative burdens for both providers and payers, as it promotes more efficient claims processing. Having a bundled code means that all the services encompassed in that code are considered and reimbursed together, which is particularly relevant in contexts like surgical procedures or comprehensive care services.

The other choices do not fully capture the essence of bundled codes. For instance, while a single code representing multiple distinct procedures may seem similar, bundled codes typically refer to related procedures rather than unrelated ones. Similarly, a code that cannot be billed separately points to specific billing restrictions rather than the broader concept of a bundle of related services. Lastly, the use of codes solely for diagnostic purposes does not align with the intent behind bundled coding, which revolves around procedural services rather than diagnoses.