Physician assistants generate substantial practice revenue, but billing optimization requires understanding the different reimbursement scenarios available. When a PA bills under their own NPI, Medicare reimburses at 85% of the physician fee schedule. However, incident-to billing allows PA services to be billed under the supervising physician’s NPI at 100% of the fee schedule, provided strict CMS requirements are met: the physician must have initiated the plan of care, must be present in the office suite during the PA’s service, and the patient must be an established patient with an existing condition. These requirements create a decision matrix for every patient encounter.
Shared visit billing adds another dimension. In the facility setting (hospital, ED, skilled nursing), a physician and PA can both see the same patient, and the visit is billed under whichever provider performed the substantive portion, defined as more than half of the total time or the key portion of the medical decision-making. The 2024 CMS shared visit rules clarified these requirements, and our billing team ensures that documentation clearly establishes which provider performed the substantive portion. For practices employing multiple PAs, we model the revenue impact of different billing strategies and help implement the approach that maximizes reimbursement while maintaining full compliance.