HCPCS Level II Coding System: Overview,
Structure, and Responsibilities Exam
UPDATED Study QUESTIONS AND
CORRECT ANSWERS
What are HCPCS Level III codes? - CORRECT ANSWER Codes that were no longer required
as of December 31, 2003, and were assigned by local Medicare carriers.
What letters do HCPCS Level III codes begin with? - CORRECT ANSWER W, X, Y, or Z.
What is the primary purpose of HCPCS Level II codes? - CORRECT ANSWER To facilitate
efficient claims processing for medical products and services.
What does DMEPOS stand for? - CORRECT ANSWER Durable Medical Equipment,
Prosthetics, Orthotics, and Supplies.
Are HCPCS codes a reimbursement methodology? - CORRECT ANSWER No, HCPCS codes
are not a reimbursement methodology or payment system.
Who develops and maintains HCPCS Level II codes? - CORRECT ANSWER The CMS
HCPCS Workgroup.
How often are HCPCS Level II codes revised? - CORRECT ANSWER Annually, with
implementation each January.
What is the difference between permanent and temporary HCPCS Level II codes? - CORRECT
ANSWER Permanent codes are implemented once a year, while temporary codes can be
added, deleted, or revised quarterly.
What type of information does the Medicare Benefit Policy Manual provide? - CORRECT ANSWER
Direction about services and procedures to be reimbursed by the MAC.
Structure, and Responsibilities Exam
UPDATED Study QUESTIONS AND
CORRECT ANSWERS
What are HCPCS Level III codes? - CORRECT ANSWER Codes that were no longer required
as of December 31, 2003, and were assigned by local Medicare carriers.
What letters do HCPCS Level III codes begin with? - CORRECT ANSWER W, X, Y, or Z.
What is the primary purpose of HCPCS Level II codes? - CORRECT ANSWER To facilitate
efficient claims processing for medical products and services.
What does DMEPOS stand for? - CORRECT ANSWER Durable Medical Equipment,
Prosthetics, Orthotics, and Supplies.
Are HCPCS codes a reimbursement methodology? - CORRECT ANSWER No, HCPCS codes
are not a reimbursement methodology or payment system.
Who develops and maintains HCPCS Level II codes? - CORRECT ANSWER The CMS
HCPCS Workgroup.
How often are HCPCS Level II codes revised? - CORRECT ANSWER Annually, with
implementation each January.
What is the difference between permanent and temporary HCPCS Level II codes? - CORRECT
ANSWER Permanent codes are implemented once a year, while temporary codes can be
added, deleted, or revised quarterly.
What type of information does the Medicare Benefit Policy Manual provide? - CORRECT ANSWER
Direction about services and procedures to be reimbursed by the MAC.
