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    v1.0.30
    OpenPayerBilling CodesExcision Procedures on the LipsCPT cpt-40500-vermilion-border-excision-lip-lesion
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    CPT 40500: Excision of Lesion, Vermilion Border of Lip

    Medicare pays $547 on average nationally for this procedure.

    CPT code 40500 describes surgical excision of a growth located on the vermilion border where the lip meets facial skin; the service is a minor skin/soft-tissue surgical procedure typically performed in an ambulatory surgical center, office-based procedure room, or outpatient clinic for removal and histologic evaluation of a lesion from the lip margin.

    For related coverage guidance, see recent payer policy updates: Office-based Laryngeal Procedures, Otoacoustic Emissions Testing (for Oxford Only), Hearing Aids and Devices Including Wearable, Bone-Anchored, and Semi-Implantable (for Indiana Only).

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    Clinical & Coding Specifications

    Clinical Context

    A typical patient is an adult presenting to an outpatient dermatology or oral surgery clinic with a small benign-appearing lesion located on the vermilion border of the lip (the junction of lip mucosa and perioral skin). The patient reports a slowly enlarging papule that intermittently bleeds with trauma or causes cosmetic concern. After history and focused exam, the provider documents lesion size, location on the vermilion border, and obtains informed consent for excision. Local anesthesia (e.g., local infiltration of lidocaine with epinephrine) is administered. The provider performs an excisional procedure removing the lesion with a margin as clinically indicated, secures hemostasis, and performs layered closure if needed for wound approximation on the lip. Specimen is sent for pathology when malignancy cannot be excluded. Post-procedure instructions address wound care, pain control, activity restrictions, and signs of infection. Billing uses 40500 for excision of a benign lesion of the vermilion border, with caregiver documentation supporting lesion size, technique, anesthesia, closure method, and whether pathology was submitted.

    Related CPT Codes

    CPT CodeDescriptionRelationship to This Procedure
    12031Repair, intermediate, wounds of the face, ears, eyelids, nose, lips; 2.6 cm to 7.5 cmOften reported when layered or intermediate closure is performed after excision of lip lesions larger than simple closures.
    11102Tangential biopsy of skin (shave), single lesionMay be used for superficial diagnostic sampling when excisional removal is not performed.
    11100Biopsy of skin, single lesion, punch or incisionalUsed when a partial biopsy is performed for diagnosis prior to definitive excision.
    88305Level IV pathology, surgical pathology, gross and microscopic examinationReported when the excised specimen is submitted to pathology for histologic examination.
    12021Repair, intermediate, wounds of the face, ears, eyelids, nose, lips; 0 to 2.5 cmUsed when intermediate layered closure is performed for smaller excisions on the vermilion border.

    Related Modifiers

    10 rows

    ModifierDescriptionWhen to Use
    26Modifier 26 (Professional Component) identifies and bills only the professional portion of a split service — the physician’s interpretation, report, and medical judgment — when the technical…- Use CPT Modifier -26 when you are billing only the professional component (PC) of a split‑bill eligible service—i.e., you performed the physician interpretation, medical judgment and prepared a…
    50Modifier –50 (Bilateral Procedure) is appended to a CPT code when an identical procedure is performed on paired anatomical structures during the same operative session. The AMA states to add…- Use modifier -50 when the same CPT surgical, diagnostic, or radiology procedure is performed on paired anatomical structures (both sides of the body) during the same operative/session by the same…
    52Modifier ‑52 (Reduced Services) indicates that a service or procedure was partially reduced or omitted at the provider’s discretion, allowing reporting of the basic procedure number with a qualifier…- Use modifier -52 when a physician or qualified health professional electively reduces or omits part of a procedure or service (for example, performing fewer required views or omitting a portion of…
    53Modifier 53 (Discontinued Procedure) signals that a surgical or diagnostic service was begun by the physician but terminated because of extenuating circumstances that threatened the patient’s…- Use modifier -53 when a physician/qualified healthcare professional has started a surgical or diagnostic procedure (e.g., anesthesia administered, incision or scope insertion) and then discontinues…
    57CPT® modifier -57 (“Decision for Surgery”) is appended to an Evaluation and Management (E/M) service when that encounter results in the initial decision to perform a major surgery (a procedure with a…- Use modifier 57 when an E/M service provided by the same provider (or same tax ID) on the day of or the day before a major surgical procedure (90‑day global period) results in the initial decision…
    58Modifier 58 (Staged or related procedure/service by the same physician during the postoperative period) indicates that a subsequent procedure performed by the same provider during the…- Use modifier 58 when the same physician/QHP performs a procedure during the postoperative/global period of an earlier procedure and the subsequent procedure is either planned or anticipated…
    62Modifier 62 indicates that two surgeons function as co‑surgeons, each performing distinct parts of the same primary surgical procedure. It is appended to the primary procedure code (and any…- Use modifier -62 when two surgeons act as co‑surgeons (both primary surgeons) on a single definitive primary procedure, each performing distinct parts of the same surgical procedure (append -62 to…
    66Modifier 66 (Surgical Team) is used when three or more surgeons act as primary surgeons on a single, highly complex procedure. The AMA defines it for use when a surgical team — often composed of…- Use modifier 66 when three or more surgeons act as primary surgeons working collaboratively as a surgical team on a single, highly complex or difficult procedure (for example organ…
    73Modifier 73 indicates a facility-level outpatient hospital or ASC procedure that was discontinued after the patient was prepared and taken to the procedure/operating room but before any anesthesia…- When to use: Apply CPT modifier 73 on the FACILITY (outpatient hospital or ASC) claim when the patient has been fully prepared and physically taken into the procedure/operating room but the…
    78CPT modifier -78 indicates an unplanned, related return to the operating or procedure room by the same provider during the global postoperative period. It is appended when treatment for a…- Use modifier -78 when an unplanned, related complication during the original procedure’s global postoperative period requires the patient to return to a formal operating or procedure room and the…

    Related Provider Taxonomies

    8 rows

    Taxonomy Code
    207P00000X
    208D00000X
    207K00000X
    207L00000X
    101Y00000X
    1835N1003X
    3336L0003X
    170100000X

    Related ICD-10-CM Codes

    27 rows

    ICD-10-CM CodeDescription
    B08.4Enteroviral vesicular stomatitis with exanthem
    C00.4Malignant neoplasm of lower lip, inner aspect
    C00.5Malignant neoplasm of lip, unspecified, inner aspect
    C00.9Malignant neoplasm of lip, unspecified
    C44.92Squamous cell carcinoma of skin, unspecified
    D04.8Carcinoma in situ of skin of other sites
    D04.9Carcinoma in situ of skin, unspecified
    F43.21Adjustment disorder with depressed mood
    K11.7Disturbances of salivary secretion
    K13.0Diseases of lips

    Showing 1–10 of 27

    Related Payer Policy Updates

    Specialty: Otorhinolaryngology (ENT)1 / 2

    10 rows

    PolicyPayerEffective Date
    Office-based Laryngeal ProceduresPremera Bluecross2026-10-06
    Otoacoustic Emissions Testing (for Oxford Only)UnitedHealthcare2026-10-01
    Hearing Aids and Devices Including Wearable, Bone-Anchored, and Semi-Implantable (for Indiana Only)UnitedHealthcare2026-10-01
    Injectable Dermal Fillers and Bulking Agents (for Kentucky Only)UnitedHealthcare2026-10-01
    Injectable Dermal Fillers and Bulking Agents (for New Mexico Only)UnitedHealthcare2026-10-01
    Injectable Dermal Fillers and Bulking AgentsUnitedHealthcare2026-10-01
    Injectable Dermal Fillers and Bulking AgentsUnitedHealthcare2026-10-01
    Injectable Dermal Fillers and Bulking Agents (for Nebraska Only)UnitedHealthcare2026-10-01
    Injectable Dermal Fillers and Bulking Agents (for Kansas Only)UnitedHealthcare2026-10-01
    Sinus Surgeries and Interventions (for North Carolina Only)UnitedHealthcare2026-10-01

    Related Codes

    CPT-40490-LIP-BIOPSY-INCISIONAL

    CPT 40490: Incisional Biopsy of Lip

    CPT-40510-LIP-WEDGE-EXCISION-CLOSURE

    CPT 40510: Lip Wedge Excision with Simple Suture Closure

    CPT-40520-LIP-LESION-EXCISION-V-SHAPED-INCISION-PRIMARY-CLOSURE

    CPT 40520: Lip Lesion Excision with V‑shaped Incision and Linear Closure

    CPT-40525-LIP-EXCISION-FULL-THICKNESS-WITH-LOCAL-FLAP-CLOSURE

    CPT 40525: Full-Thickness Lip Excision with Local Flap Repair

    CPT-40527-LIP-EXCISION-FULL-THICKNESS-WITH-FLAP-RECONSTRUCTION

    CPT 40527: Full-Thickness Lip Excision with Opposing Lip Flap Repair

    CPT-40530-LIP-EXCISION-MORE-THAN-ONE-FOURTH-NO-RECONSTRUCTION

    CPT 40530: Excision of More Than One-Quarter of Lip, No Reconstruction

    Frequently Asked Questions

    References

    1. 1.CPT® Codes and Descriptions. AAPC. Retrieved Aug 11, 2026.Maintains the CPT code set's official descriptions and guidelines, licensed from the American Medical Association, used as the definitional source for CPT codes on this page.
    2. 2.HCPCS Quarterly Update. Centers for Medicare & Medicaid Services (CMS). Retrieved Aug 11, 2026.CMS's quarterly release of HCPCS Level II codes and short/long descriptors, the source for HCPCS code definitions and update history.
    3. 3.ICD-10-CM Full Code List. Centers for Medicare & Medicaid Services (CMS). Retrieved Aug 11, 2026.CMS's complete ICD-10-CM diagnosis code list, used to cross-reference diagnosis codes associated with this procedure or service.
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