Surgical removal of necrotic or infected bone (sequestrum) from the humeral head and surgical neck region, typically performed to treat osteomyelitis or a bone abscess at the proximal humerus.
Verified May 8, 2026 · 7 sources ↓
- Medicare
- $724.80
- Total RVUs
- 21.7
- Global, days
- 90
- Region
- Shoulder
Documentation requirements
What must appear in the operative or office note to support the claim.
Source · Editorial brief grounded in 7 cited references ↓
- Specify the exact anatomic location as humeral head and/or surgical neck — not just 'proximal humerus'
- Document the diagnosis driving the procedure (e.g., osteomyelitis, bone abscess) with supporting imaging or culture results
- Describe the surgical findings, including identification and characterization of the sequestrum (size, extent, appearance)
- Confirm the surgical approach used and the extent of bone removal performed
- Record intraoperative cultures or pathology specimens sent, if applicable
- If modifier 22 is appended, quantify the increased complexity — note time, extent of disease, or technical difficulty explicitly
Applicable modifiers
Modifiers commonly billed with this code.
Source · AMA CPT modifier descriptors · CMS NCCI Policy Manual
What this code covers
Source · Editorial summary grounded in 7 cited references ↓
CPT 23174 describes sequestrectomy of the humeral head through the surgical neck — the open debridement and removal of devitalized, infected, or necrotic bone from the proximal humerus. The procedure is performed for conditions such as osteomyelitis or bone abscess where conservative management has failed and surgical excision of the sequestrum (the dead bone fragment) is required to resolve infection and allow healthy tissue to repopulate the defect.
This code sits within a family of shoulder sequestrectomy codes: 23170 covers the clavicle, 23172 the scapula, and 23174 is specific to the humeral head-to-surgical-neck region. Selecting the wrong code within this family — or defaulting to a partial excision code like 23184 — is a common audit flag. The operative note must clearly identify the anatomic location as the humeral head and/or surgical neck and describe the removal of sequestrum, not simply curettage or saucerization.
The 90-day global period applies. That means routine post-op wound checks, dressing changes, and office management of expected healing are bundled through day 90. If the patient requires a separate unplanned return to the OR for a related complication — such as wound debridement for persistent infection — bill with modifier 78. Antibiotic-impregnated spacer or drug-delivery device placement (add-on code 20700) may be separately reportable when performed at the same session; check current NCCI PTP edits before billing both.
RVU & reimbursement
Component RVUs and Medicare national rate. Actual payment varies by GPCI locality.
Source · CMS Physician Fee Schedule, RVU26A · January 2026
| Work RVU | 9.8 |
| Practice expense RVU | 9.81 |
| Malpractice RVU | 2.09 |
| Total RVU | 21.7 |
| Medicare national rate | $724.80 |
| Global period | 90 days |
Payment by site of service
Medicare pays different rates by setting. HOPD typically pays substantially more than ASC for the same procedure.
Source · CMS OPPS Addendum B·ASC HCPCS payment rates·2026
| Setting | Medicare rate (national) |
|---|---|
Office (PFS non-facility) Procedure performed in physician's office | $724.80 |
HOPD (APC 5114) Hospital outpatient department | $7,413.38 |
ASC (PI A2) Ambulatory surgical center (freestanding) | $3,695.53 |
Common denial reasons
The recurring reasons claims for CPT 23174 get rejected.
Source · Editorial brief grounded in CMS NCCI edits, AAOS coding appeals, and cited references ↓
- Wrong code selected — 23184 (partial excision, proximal humerus) billed instead of 23174 when the operative note documents sequestrum removal
- Insufficient documentation of the specific anatomic site; notes reference 'shoulder' or 'proximal humerus' without identifying humeral head or surgical neck
- Global period billing conflict — post-op services billed without modifier 24 when unrelated, or missing modifier 78 for related return to OR
- Missing pre-operative imaging or pathology supporting the osteomyelitis or bone abscess diagnosis
- Medical necessity denial when documentation does not establish failed conservative treatment prior to surgical intervention
Frequently asked questions
Source · Generated from the editorial pipeline, verified against 7 cited references ↓
01What is the difference between CPT 23174 and CPT 23184?
02Can I bill 20700 (antibiotic spacer preparation and insertion) with 23174?
03What modifier applies if the patient returns to the OR during the 90-day global for persistent osteomyelitis?
04Does the site of service affect reimbursement for 23174?
05When is modifier 22 appropriate for 23174?
06Is 23174 ever performed bilaterally, and how should that be billed?
Sources & references
Editorial content was developed using the following public sources. Last verified May 8, 2026.
- 01CMS Physician Fee Schedule 2026
- 02cms.govhttps://www.cms.gov/medicare/coding-billing/national-correct-coding-initiative-ncci-edits/medicare-ncci-policy-manual
- 03cms.govhttps://www.cms.gov/medicare/coding-billing/national-correct-coding-initiative-ncci-edits/medicare-ncci-faq-library
- 04emedny.orghttps://www.emedny.org/providermanuals/physician/pdfs/physician%20procedure%20codes%20sect5.pdf
- 05bonesupport.comhttps://www.bonesupport.com/wp-content/uploads/2025/10/PR-01297-04-en-US-09-2025-2025-Inpatient-Coding-Guide.pdf
- 06pmc.ncbi.nlm.nih.govhttps://pmc.ncbi.nlm.nih.gov/articles/PMC12088279/
- 07cgsmedicare.comhttps://www.cgsmedicare.com/medicare_dynamic/j15/partb/ptpb/ptp.aspx
Mira AI Scribe
Mira's AI scribe captures the anatomic site (humeral head to surgical neck), the surgical indication (osteomyelitis, bone abscess), a description of the sequestrum identified and removed, the extent of debridement, and any specimens sent to pathology. This prevents the most common denial driver for 23174: operative notes that reference 'proximal humerus' without specifying the humeral head or surgical neck, which auditors use to downcode or reject the claim entirely.
See how Mira captures CPT 23174 documentation