The American Medical Association owns the rights to all CPT® (current procedural terminology) codes and enforces the collection of licensing fees for each rendering provider who submits claims utilizing these codes.
Similar to all practice management and EHR companies, we are required to collect licensing fees for CPT® codes annually on behalf of the AMA. Fees should be collected via your primary payment method. For 2023, the fee is $18.50 per provider.
For more information on the AMA CPT® Code licensing fees, please visit this link.
- Do I need to pay for providers who are not using AMA CPT® codes?
No, providers who have not used or will not use CPT® codes during the calendar year will not be charged.
- Will I be charged sales tax for the AMA CPT codes licensing fee?
Applicable taxes will not be charged on this billing cycle but may be charged in the future if the tax rules change.
- Will the fee be raised next year?
We will communicate ahead of time about any future CPT® Code fee increases made by the AMA. From 2022 to 2023, the AMA raised its fee by $0.50. Based on the AMA’s communication, we expect a similar increase related to these charges every year going forward.
When will billing take place for AMA CPT code usage?
Providers utilizing the AMA CPT codes will be billed earlier in the year - February or March. You may receive additional AMA CPT code charges for any incremental providers who utilize CPT codes and were not previously billed earlier in the year. (e.g., If a new provider joins a practice in March, and utilizes CPT codes, the practice will be charged $18.50 for the addition of the new provider on the following invoice.)
- Can I pay the AMA directly?
No, the AMA will charge all practice management and EHR companies for the use of their CPT® codes. For this reason, we will be collecting the fees on their behalf.
- How is KASA identifying providers who have used CPT® Codes?
Any user that has used a CPT® Code for a service or claim will be considered an eligible provider for the AMA Licensing Fee.
- How will the fee appear on my KASA invoice?
The charge description will say "AMA CPT License Fee".
- I use other billing tools with these codes too. Do I only need to pay this fee once per year, per provider or will I need to pay for each billing tool I use?
The AMA is charging all practice management systems and EHRs a licensing fee per provider for use of the AMA CPT® Codes. We are unaware of how other billing software and solutions plan to accommodate these fees.
For Therapy Brands practice management and EHR solutions, your account will be charged $18.50 per provider that uses CPT® Codes.
- How much does KASA profit from these fees?
KASA does not profit from the AMA Licensing Fees. The cost per qualified provider is for the usage of the AMA CPT codes.
The total cost per qualified provider is $18.50 for the calendar year - this includes the $17.50 AMA CPT code licensing fee and a $1.00 processing fee.