POS 10 is a place of service code that identifies telehealth services provided to patients while they are physically located in their home or another non-facility residence.
It applies to care delivered through live audio and video telecommunications technology when the patient is in a private living space, whether a permanent or temporary home, a non-institutional residence, or even a hotel or similar temporary lodging.
Unlike POS 02, which designates telehealth provided when patients are in other healthcare facilities such as clinics, hospitals, or nursing homes, POS 10 is specific to home-based telehealth.
In this guide, we’ll break down what POS 10 means, when and how to use it correctly, why it matters for reimbursement, common mistakes to avoid, and how mastering it can streamline your billing process and strengthen compliance.
Why Was POS 10 Introduced?
Telehealth grew massively during and after the COVID-19 pandemic. Previously, all telehealth services were billed under the broader code POS 02, regardless of patient location.
CMS and many insurers recognized the need to differentiate between telehealth from a patient’s home versus telehealth from other facility settings to:
- Improve billing accuracy
- Enable proper reimbursement based on geographic patient location
- Meet data tracking and reporting needs for telehealth expansion
POS 10 was introduced to designate telehealth services delivered when patients are in their homes and implemented for Medicare claims on April 1, 2022, with most payers adopting it thereafter.
When Should Providers Use POS 10?
Use POS 10 only when:
- The service is provided entirely via telehealth technology (live video/audio).
- The patient is physically located in their home during the encounter.
- The provider respects privacy and safety regulations for home-based telehealth.
Examples:
- A psychiatrist performing a therapy session with a patient located in their own house.
- A nurse practitioner conducting a follow-up remote visit from the patient’s private residence.
- A counselor leading a behavioral therapy session with a client logging in from home.
How Does POS 10 Affect Reimbursement?
POS 10 typically:
- Qualifies for non-facility payment rates, which are higher than rates for services furnished in healthcare facilities.
- Distinguishes telehealth from facility-based services (e.g., POS 02), which may have reduced payments due to shared overheads.
- Allows providers to optimize revenue for home telehealth visits.
Medicare and Medicaid reimburse telehealth at higher rates when billed with POS 10 compared to facility-based telehealth.
Common Mistakes with POS 10 Billing
POS 10 is specific to telehealth delivered in the patient’s home. Misuse can cause denials, compliance issues, or lost revenue. Avoid these mistakes:
- Wrong Code Use: Applying POS 10 when the patient is in a facility (should be POS 02).
- Missing Modifiers: Forgetting required telehealth modifiers like 95 or GT.
- Phone-Only Billing: Using POS 10 for audio-only visits instead of proper telephone service codes.
- Confusing Home Visits: Mixing in-person home visits (POS 12) with telehealth home visits (POS 10).
- Lack of Documentation: Not recording patient location and consent during the encounter.
- Outdated Systems: Failing to update billing software to support POS 10 correctly.
How to Use POS 10 Correctly
POS 10 applies only to telehealth visits delivered when the patient is at home. Correct usage ensures compliance, smooth claims, and full reimbursement.
- Verify Location: Confirm the patient is physically at home before starting the service.
- Use Secure Platforms: Deliver care through HIPAA-compliant telehealth systems.
- Document Consent: Record patient approval, noting both telehealth delivery and location.
- Apply Correct CPT Codes: Bill only with telehealth-eligible CPT codes.
- Add Modifiers: Pair POS 10 with required telehealth modifiers (e.g., 95, GT).
- Maintain Records: Keep logs of the technology used and the patient’s home location.
POS 10 and The Future of Healthcare
Telehealth’s role is expanding permanently. Accurate POS 10 billing ensures:
- Providers get fair compensation for home-based telehealth.
- Payers monitor service delivery accurately.
- Patients maintain access to remote healthcare at home.
POS 10 is now an essential part of modern billing workflows.
Conclusion
POS 10 is critical for accurate telehealth billing when patients are located in their homes. Using POS 10 ensures correct reimbursement, helps avoid claim denials, and aligns with CMS and commercial insurer policies. Understanding and properly using POS 10 will ensure billing accuracy for home telehealth and improve revenue cycle management.
