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Provider Manual

Prior authorization required for office-based procedures in ASC or hospital outpatient setting

Last Updated on March 03, 2025

Providers may request prior authorization for office-based procedures by selecting “Site of Service Office and Outpatient Based Procedure” under the   Authorizations page.

CMS has designated a number of procedures as office based and assigned these with a P2, P3 or R2 Medicare Ambulatory Surgery Center (ASC) payment indicator type.  Security Health Plan (SHP) requires prior authorization to reimburse a facility fee for these procedures when performed in an ASC or hospital outpatient department for members with an employer, Marketplace and self-funded (Insite by Security Health Plan) plans.  

When it is medically necessary to perform an office-based procedure in a setting other than the office, or if it is in conjunction with a procedure classified as ambulatory, facilities must contact Security Health Plan to get prior authorization for office-based procedure codes.  For example, if a pain block (CPT 64450) is performed in conjunction with a uni-compartmental knee procedure, the facility should contact Security Health Plan to request prior authorization for CPT 64450 as this is normally an office-based procedure.  If providers do not request prior authorization before the date of the procedure, Security  Health Plan will deny the office-based codes as facility responsibility.

NOTE: Office-based procedures requested for patient or provider convenience or due to equipment location issues will not be reviewed for prior authorization for reimbursement in an ambulatory or outpatient hospital setting.  See the CMS ASC  payment indicator types.