FDMC™ – Fellowship in Dermatology Coding The FDMC™ – Fellowship in Dermatology Coding is an advanced specialty training program designed to build deep expertise in Dermatology Medical Coding, CPT® procedure coding, ICD-10-CM diagnosis mapping, and reimbursement compliance within dermatology practices.

Dermatology coding involves complex procedural documentation including skin biopsies, lesion excisions, Mohs micrographic surgery, cryotherapy, destruction of lesions, and cosmetic versus medical necessity differentiation. The FDMC™ Fellowship equips medical coders, auditors, and revenue cycle professionals with structured, real-world training in dermatology-specific coding guidelines and compliance standards.

This fellowship focuses on:

Accurate coding of Integumentary System CPT® procedures

Differentiating benign vs malignant lesion coding

Proper use of Modifiers 25, 59, 51, and 58 in dermatology services

Documentation validation for medical necessity and audit readiness

Coding for biopsies, excisions, repairs, grafts, and Mohs surgery

Understanding global surgical package rules in dermatology

Preventing overcoding and undercoding risks

Interpreting pathology reports for correct diagnosis linkage

The FDMC™ – Fellowship in Dermatology Coding moves professionals beyond basic CPT code selection into deeper understanding of documentation defensibility, compliance integrity, and reimbursement optimization.

This program is ideal for:

Dermatology Medical Coders

Revenue Cycle Specialists

Coding Auditors

Practice Billing Managers

Specialty Coding Consultants

With increasing scrutiny on medical necessity, E/M services, and procedural bundling edits (NCCI guidelines), advanced dermatology coding knowledge is essential for compliance and financial stability.

The FDMC™ Fellowship by PMBAUSA LLC provides structured case-based learning, redacted operative report analysis, and real-world coding scenarios to prepare professionals for high-accuracy specialty coding environments.

This fellowship serves as a strategic upskilling pathway for coders who want to specialize in Dermatology Coding, procedural compliance, and specialty revenue optimization.

Course Objectives

FDMC™ – Fellowship in Dermatology Coding

The objective of the FDMC™ – Fellowship in Dermatology Coding is to develop advanced expertise in Dermatology Medical Coding, procedural documentation analysis, and specialty reimbursement compliance.

By the end of this fellowship, participants will be able to:

  • Interpret and apply CPT® Integumentary System Guidelines accurately

  • Assign correct ICD-10-CM diagnosis codes for dermatological conditions

  • Differentiate benign vs malignant lesion coding appropriately

  • Code biopsies, excisions, repairs, grafts, and Mohs surgery confidently

  • Apply correct CPT® Modifiers (25, 59, 51, 58, 79) in dermatology scenarios

  • Understand and apply Global Surgical Package rules

  • Ensure compliance with NCCI Edits and bundling regulations

  • Validate documentation using medical necessity standards

  • Interpret pathology reports for accurate diagnosis linkage

  • Prevent overcoding, undercoding, and audit risks

  • Analyze dermatology operative reports for defensible coding decisions

  • Strengthen audit readiness and reimbursement accuracy

This fellowship is designed to elevate professionals from general coding roles into specialized Dermatology Coding Experts with strong compliance and procedural proficiency.

Table of Contents

Integumentary System (10030-19499)

Medical coders must clearly understand terminology used in the CPT manual for integumentary procedures.


The Office of Inspector General OIG closely monitors dermatology services because of high audit risk, especially for lesion removals, biopsies, and destruction procedures.


Key CPT Descriptors You Must Understand

Quantity Terminology

  • Each

  • Each separate

  • Each additional

  • Single

  • Multiple

  • Any number

Audit risk: Incorrect counting of lesions can lead to overbilling or unbundling.


Severity Terminology

  • Simple

  • Complicated

  • Extensive

Audit risk: Upcoding severity without documentation is a common OIG finding.


Size Terminology

  • Small

  • Medium

  • Large

Audit risk: Lesion size must be documented before destruction or excision, not after.


Depth Terminology

  • Superficial

  • Deep

  • Subcutaneous

Audit risk: Depth determines code selection. Coders must not assume depth.


Method Terminology

  • Incision

  • Excision

  • Biopsy

Audit risk: Biopsy codes are frequently misused when the lesion is fully removed.


Common Integumentary Procedural Terms and Definitions

Allograft

  • Skin graft from one person to another

  • Donor is usually a cadaver


Anesthetics

  • Applied to the skin to deaden pain

  • Included in most minor procedures unless stated otherwise


Autograft

  • Skin graft from the patient’s own body


Biopsy

  • Removal of tissue by needle, knife, punch, or brush

  • Used for diagnostic purposes

  • Do not report biopsy if the entire lesion is removed


Cauterization

  • Destruction of tissue using chemicals, electricity, heat, or freezing


Chemabrasion

  • Abrasion using chemicals

  • Also known as chemical peel


Cryosurgery

  • Destruction of tissue using extreme cold

Audit note: Document number of lesions and method clearly.


Curettage

  • Removal of superficial skin lesions using a curette


Debridement

  • Removal of foreign material or dead tissue from a wound

OIG focus: Depth and type of tissue removed must be documented.


Dermabrasion

  • Mechanical abrasion using wire brushes or sandpaper

  • Used for scars, tattoos, and acne


Dermatoplasty

  • Skin grafting or transplantation


Electrocautery

  • Tissue destruction using electric current


Excision

  • Removal of tissue by cutting

  • Includes margins when documented

Audit risk: Incorrect margin calculation is a frequent error.


Frozen Section

  • Rapid microscopic examination of frozen tissue

  • Often bundled into surgical procedures


Heterograft

  • Skin from another species usually pig

  • Also known as xenograft


Incision and Drainage I and D

  • Surgical opening to allow drainage of pus or fluid

Audit focus: Simple versus complicated must be clearly supported.


Laser Therapy

  • Destruction of lesions using focused laser energy


Liposuction

  • Removal of fat using suction


Rhytidectomy

  • Surgical removal of excess skin

  • Commonly called face lift


Skin Graft

  • Transfer of skin to cover another site

  • Common in burn treatment and post excision repair


OIG Coding Compliance Tips for Dermatology

  • Never assume lesion size, depth, or malignancy

  • Documentation must support each CPT descriptor

  • Do not report biopsy when excision is performed on the same lesion

  • Count lesions accurately

  • Avoid automatic use of complicated or extensive codes

  • Always verify bundling rules and NCCI edits

 

Dermatology is a high audit specialty.
Correct coding depends on precise documentation, not assumptions.

Skin, Subcutaneous, and Accessory Structures

Image Guided Fluid Collection Drainage

CPT 10030
Image guided fluid collection drainage by catheter
Percutaneous approach


Used for soft tissue collections such as
– Abscess
– Hematoma
– Seroma
– Lymphocele
– Cyst

• Applies to soft tissue locations only, including
– Extremity
– Abdominal wall
– Neck

• Imaging guidance is included and not reported separately

• Code is reported once per collection drained, regardless of catheter size or duration


Soft Tissue Marker Placement Codes

CPT 10035
Placement of soft tissue localization devices such as clips or markers
First lesion

CPT +10036
Placement of soft tissue localization devices such as clips or markers
Each additional lesion

• Code +10036 is an add on code
• Add on codes must never be reported alone
• Add on codes are modifier 51 exempt


Important Site Specific Coding Rule

• CPT codes 10035 and +10036 are for soft tissue only

Do NOT use these codes for breast procedures

• For breast marker placement, use existing breast specific codes
– 19081 to 19086 for biopsy guidance
– 19281 to 19288 for breast localization

• If a more specific anatomic site than soft tissue is applicable
– Always use the site specific CPT codes instead of 10035 or +10036


Reporting Guidelines and Audit Tips

• Codes 10035 and +10036 are reported once per target lesion
• This is true regardless of the number of markers placed for that lesion

• Multiple markers placed to define one target
– Report only one unit of 10035

• Multiple separate lesions
– Report 10035 for the first lesion
– Report +10036 for each additional lesion

• Do not report additional units based on
– Number of markers
– Number of clips
– Number of passes


Key OIG and Compliance Takeaways

• Always verify anatomic site before selecting marker placement codes
• Avoid using soft tissue codes when site specific codes exist
• Over reporting units for multiple markers on one lesion is a common audit risk
• Documentation must clearly identify
– Target lesion
– Anatomic location
– Imaging guidance used

Paring or Cutting (11055-11057)

Paring or Cutting (11055-11057)

  • Involves superficial removal of lesion using a curette.
  • Refers to benign hyperkeratotic lesions like corn or callus.
  • The number of keratotic lesions removed should be totaled and the appropriate code selected.
  • To report destruction, see codes 17000-17004.
  • Only one code from this series is reported for the total number of lesions pared or cut.

Example #1: Paring of 1 lesion.

Procedure Code

Units

11055

1

Example #2: Paring of 2 lesions with established patient level 4 E/M service for another condition on the same day.

Procedure Code

Modifiers

Units

99214

25

1

11056

 

1

Example #3: Two lesions are pared from the right foot and three lesions are pared from the left foot.

Procedure Code

Units

11057

1

 

Frequently Asked Questions

When does the course start and finish?
This course is completely self-paced, so you can begin at any time and set your own pace.
How do I access the course?
Once you sign up, you will receive an email invitation to join the course. You can access the course from any device with a live Internet connection. The course will work on a desktop, laptop, tablet, and smartphone.
What are the advantages of taking this course online?
Online courses provide unparalleled convenience and flexibility. You can take the course anytime and anywhere, on any device you own.
How do I ask questions?
You can email your instructor directly or utilize the course discussion board.
Is FDMC™ recognized or endorsed by any government agency?
No. FDMC™ – Fellowship in Dermatology Coding is an independent educational program developed and issued by PMBAUSA LLC. It is not affiliated with, endorsed by, or accredited by CMS, Medicare, AMA, or any federal or state regulatory authority. This fellowship is intended for educational purposes only. Participants should refer to official coding manuals, payer policies, and regulatory publications for authoritative and up-to-date guidance.

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