What are The Challenges Faced by Medical Billers?
Earlier in the Medical Billing timeline, it was much easier for the healthcare facilities to get paid the first time. Over time, it became cumbersome to manage regulations and payer requirements to wreak havoc on the biller's daily workload. The reason behind the billing challenges is that payers have inconsistent policies across different specialties and states and it feels like juggling too many balls to meet the requirement of each payer. Resultantly, one ball falls. Requirements of Medical Billing Services in California differ from Medical Billing Services in Florida. Consequently, billers have to handle multiple claim rejections, denials, and appeals. Such stiff regulatory policies of the payer became the next top productivity killer.
✅ ICD 10 Code for Skin Tag: What You Need to Know
🚀The dermatology field in Medical Billing is known to be complicated due to certain factors. First, it includes a diverse set of procedures, including routine skin checkups, complex cosmetic treatments, and surgical procedures.
Secondly, even if we limit our discussions only to skin tag removal, you will find lots of diagnosis ICD-10 codes. Some codes are billable while others are not.
This blog will cover everything that you need to know about the ICD-10 codes for skin tags removal.
Therefore, this article has been specifically designed to help you effectively manage claim denials related to skin tag removal.
👉 What Are Skin Tags?
Skin tags are also known as soft fibromas, skin tabs, fibroepithelial, and cutaneous papillomas. However, acrochordon is the medical term for skin tags which refers to benign and soft growths. It generally appears on body areas prone to friction such as the eyelids, groin, armpits, and neck.
Typically, these growths are small, harmless, and flesh-colored. However, they may become inflamed, irritated, painful, and inflamed, requiring urgent medical attention.
In this perspective, ICD-10 for skin tag offers healthcare providers a standardized approach to document, classify, and treat skin tags, ensuring accuracy and consistency in Medical Billing.
For healthcare providers, ICD-10 for skin tags sets a high standard procedure to classify, document, and treat skin tags, leading to operational stability in the billing industry.
👉 What is the Importance of the ICD 10 code for skin tag removal?
ICD-10 code for skin tags has a largely important role as it enables healthcare providers to distinguish skin tags from other skin-related issues that lead to the following benefits:
Accurate diagnosis of the health condition
Facilitation in the reimbursement process for medical removal
Streamlining communication and treatment planning.
Differentiating between billable and unbillable skin tag removal.
Simply put, healthcare providers depend on these ICD-10 codes to enhance diagnosis efficiency, reimbursement workflow, and treatment planning.
👉 Common ICD 10 code for skin tag
Before discussing ICD-10 codes for skin tag, healthcare providers must understand that there are two types of codes; billable and non-billable. Some ICD-10 codes are used to report to get reimbursement from insurers. Thus, you can receive your rightful reimbursement by reporting these billable codes with relevant CPT codes.
Conversely, some ICD-10 codes lack the medical necessity for removal and are non-billable. These codes correspond to asymptomatic acrochordons. Insurance providers don't reimburse if the skin tag removal procedure is performed for cosmetic reasons. To avoid any inconvenience, the physician should inform the patient that the service is not covered by the insurance company. The service charges will be liable to be paid out-of-pocket for the removal of acrochordons.
👉 What Are the Billable Skin Removal ICD-10 Codes
Here we discuss below a few ICD-10 codes that are commonly used for skin tag removal:
L91.8 for Other Hypertrophic Disorders of the Skin
This code is used when no other available codes describe the diagnosed skin tag.
It is important to note that ICD-10 L91.8 is a generic code, and insurance companies put excessive emphasis on coding accuracy and specificity. Thus, healthcare providers should prefer using it when another code describes the diagnosed acrochordon condition.
However, if there is no other code to describe the diagnosis, then make sure to include clear notes in the medical record stating the same. Other necessary details to provide in the documentation when reporting L91.8 include skin tag location, description, and related symptoms.
D23.9 for Benign Neoplasm of Skin, Unspecified
It is another commonly used ICD-10 code for skin tags. Healthcare providers may use this code when the diagnosed skin tag is identified as a benign neoplasm. Additionally, it is a general code that is not classified further.
Thus, if a patient visits your clinic with a benign neoplasm, you can report this code for diagnosis and even charge the payer for removing the skin tag when coupled with the relevant CPT code since it is one of the billable codes.
L98.8 for Other Specified Disorders of the Skin
This ICD 10 Code for skin tag removal is used when you report a diagnosis of other specified disorders of the skin. Healthcare providers can use it with the related procedural code to bill the skin tag removal as a result of this diagnosis. Its reimbursement chances are quite high as it is medically necessary by insurance payers.
The ICD-10 code L98.8 covers several skin-related and tissue concerns, and skin tags are just one of them. Thus, it is imperative for healthcare providers to ensure documentation completeness when reporting this code to ensure that the payer receives adequate information regarding the diagnosis of the code being reported.
K64.4 for Residual Hemorrhoidal Skin Tags
This code has been specified to report the diagnosis of residual hemorrhoidal skin tags. Loose pieces of skin remain after hemorrhoids disappear or are treated. Briefly put, this loose skin is not hemorrhoids but a byproduct or residual of the healing process.
Hemorrhoids are characterized as enlarged bulging blood vessels that develop either under the skin around the anus or inside the rectum. Such a skin tag may require removal as it causes irritation and one feels uncomfortable with it.
Thus, if someone is diagnosed with this skin condition and requires skin tag removal, you can use ICD-10 for skin tag code k64.4, the relevant CPT code, and clear notes about the patient's physical exam results, medical history, and other test reports to ensure you receive the rightful reimbursements.
However, this code can also be avoided if the patient has active hemorrhoids or other issues with the rectum or anus.
What are Non-Billable Skin Tag Removal ICD-10 Codes
Here we explain some of the important non-billable ICD-10 for skin tag removal.
L72.3 for Miliaria Rubra
It is one of the non-billable ICD-10 codes for skin tag removal that is used to report the diagnosis of Miliaria Rubra, which means 'prickly heat' or heat rash'. These are also referred to as sebaceous cysts. Greater chances are that insurance companies pay for this condition as it is a small and raised bump that looks like skin tags. Excessive heat is the major behind it. When sweat glands are blocked, trapping perspiration under the skin.
Typically, people living in humid and hot places experience this condition due to excessive sweating.
L910.0 for hypertrophic Scar
Another commonly used ICD-10 code is L91.0. It spots hypertrophic scars, which are thick, raised, and developed during the healing process of skin inflammation, injury, surgery, or burn due to excessive collagen. Most of the time, people mistake these scars for skin tags, but in reality, they have entirely different skin conditions and cannot be reimbursed.
L72.0 – Epidermal Cyst
L72.0 codes are to diagnose epidermal cysts, but healthcare providers cannot report it to bill skin tag removal. When an epidermal cyst in a patient is diagnosed, the practitioners may report the diagnosis using L72.0.
However, it is important to remember that these cysts can appear on any part of the body and are often simply for cosmetic reasons. Thus, you are not going to be reimbursed against this ICD-10 code for skin tag removal.
Miliaria Rubric L72.3
Miliaria rubra, which is caused by to obstruction of sweat ducts, is also called heat rash. If sweat remains under the skin results in itchy, red bumps on the skin during warm, muggy weather by blocking the sweat ducts. Usually, affected areas include the neck, chest, and back. Too much friction and sweating cause skin irritation and inflammation which causes Miliaria Rubric. The best strategies to control the condition are to stay cool and dry, wear loose clothing, and steer clear of heat.
Removal of Skin Tags & Insurance Coverage
When it comes to insurance coverage for the removal of skin tags, it depends on medical necessity. If a healthcare practitioner provides medical necessity such as irritation, pain, or bleeding, insurance covers skin tag removal. On the other hand, if the purpose behind removal is cosmetic or to improve the look, insurers are less likely to pay for it.
Can I Diagnose ICD 10 for Skin Tag by Myself?
No, it is a certified and credentialed healthcare provider to document medical necessity (irritation, pain, or bleeding) using the correct ICD-10 codes. Insurance companies only reimburse for skin tag removal when approved by the provider.
Insurance may cover skin tag removal if healthcare providers document medical necessity (pain, irritation, or bleeding) using the correct ICD-10 codes.
How to ensure the accurate coding of skin tags?
The best way to ensure coding accuracy is to properly document your medical records. Secondly, differentiate between skin tags and other skin conditions. And then use the correct billable ICD-10-CM codes.
Final Thought
This guide is the most productive choice for healthcare providers to know about ICD 10 for skin tag. We conducted extensive research to find all the relevant facts and figures to facilitate easy and accurate diagnosis of the skin condition, enable reimbursement for medically necessary removals of skin tags, ensure efficient medical documentation, and improve treatment planning. It is time to wrap up this guide that offers a diverse set of codes and differentiates between billable and non-billable skin tag removal.
Moving forward, we discussed some of the most commonly used billable and non-billable ICD-10 codes related to acrochordons.
And we are sure this guide will prove helpful to equip you with the necessary knowledge to ensure accurate reporting of skin tags removals. However, if you find the proper use of coding challenging, why not to consider outsourcing dermatology billing services to Pro Medical Billing Solutions which is one of the most well-reputed Medical Billing companies in the U.S. We have years of diverse growth experience and elevated numerous healthcare facilities to financial stability and sustainable growth.
Frequently Asked Questions
The official ICD-10 code for a skin tag is L91.8, which covers “Other hypertrophic disorders of the skin.” Even though skin tags are benign and harmless, doctors use this code to document them properly in medical records.
Great question! Even though skin tags are usually harmless, having an ICD-10 code like L91.8 helps with accurate diagnosis, billing, and insurance documentation. It keeps the medical paperwork neat and organized.
Yes, it can. If a patient has more than one skin tag, the same code is typically used unless there’s another underlying skin condition that needs separate coding.
Yes, skin tags—whether on the neck, armpits or anywhere else—generally fall under the same code. The ICD-10 system focuses more on the condition than the specific location.
You don’t need to memorize it, but your healthcare provider will use the code when submitting insurance claims. It helps the insurer understand what was treated and why.
ICD-10 codes don’t change frequently, but they’re updated occasionally to reflect medical advances or better classification. For now, L91.8 is the go-to code for skin tags.
We apply the L91.8 code with expert precision, ensuring every claim is clean, compliant, and optimized for full reimbursement. Our team goes beyond basic coding—conducting proactive audits, reducing denials, and streamlining the entire billing process. It’s how we help practices elevate accuracy, efficiency, and revenue performance.
