Open extra-articular ligamentous reconstruction of the knee, with or without graft augmentation, performed outside the joint capsule.
Verified May 8, 2026 · 5 sources ↓
- Medicare
- $662.67
- Total RVUs
- 19.84
- Global, days
- 90
- Region
- Knee
Documentation requirements
What must appear in the operative or office note to support the claim.
Source · Editorial brief grounded in 5 cited references ↓
- Specify graft type by name — autograft (donor site) or allograft — and distinguish it from any synthetic tape or suture augmentation used in the same case
- Name the specific ligament(s) reconstructed (e.g., medial collateral, lateral collateral, posterolateral complex) and their anatomic location relative to the joint capsule (extra-articular)
- Document the fixation method: screw type, size, and placement site for graft anchoring
- Include pre-operative diagnosis supported by imaging (MRI preferred) confirming ligament insufficiency or failure of prior repair
- If billing with a second knee procedure same-day, document medical necessity and distinct procedural service for each code
- Record whether the procedure is a primary reconstruction or revision following prior ligament surgery, as payers may require prior auth differentiation
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 5 cited references ↓
CPT 27427 covers open reconstruction of the extra-articular ligaments of the knee — those structures located outside the joint capsule, such as the medial or lateral collateral ligaments. The procedure requires biologic tissue: an autograft harvested from the patient or an allograft from a donor. Synthetic tape or suture augmentation alone does not meet the threshold for reconstruction; that work codes as repair. If the operative note describes both repair and reconstruction in the same session, the documentation must clearly distinguish the biologic graft placement from any supplemental fixation material.
The 90-day global period applies. All routine post-op care, wound checks, and hardware-related visits through day 90 are bundled. Separate E/M services in that window require modifier 24 (unrelated medical problem) or 25 (significant, separately identifiable E/M on the day of a minor procedure — not applicable here given the 090 global).
Critical NCCI bundling rule: arthroscopic ligament reconstruction codes 29888 and 29889 are bundled into 27427 and cannot be reported together on the same encounter. If you're billing a same-day knee arthroscopy, confirm it is a distinct, separately documented service before appending modifier 59 or an X-modifier — and check current NCCI PTP edits before billing.
RVU & reimbursement
Component RVUs and Medicare national rate. Actual payment varies by GPCI locality.
Source · CMS Physician Fee Schedule, RVU26A · January 2026
| Work RVU | 9.55 |
| Practice expense RVU | 8.42 |
| Malpractice RVU | 1.87 |
| Total RVU | 19.84 |
| Medicare national rate | $662.67 |
| 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 | $662.67 |
HOPD (APC 5114) Hospital outpatient department | $7,413.38 |
ASC (PI J8) Ambulatory surgical center (freestanding) | $4,859.27 |
Common denial reasons
The recurring reasons claims for CPT 27427 get rejected.
Source · Editorial brief grounded in CMS NCCI edits, AAOS coding appeals, and cited references ↓
- Operative note describes suture tape or synthetic augmentation only — payers deny 27427 when no biologic graft is documented
- 29888 or 29889 billed same-day without recognizing NCCI bundle into 27427 — edit triggers automatic denial of the arthroscopy code
- Modifier 59 or LT/RT missing when billing bilateral or same-session procedures, causing claim to reject as duplicate
- Insufficient pre-op imaging or clinical documentation of chronic instability or failed conservative treatment to support medical necessity
- Repair and reconstruction conflated in operative note — payer downcodes to 27405 (repair) when graft use is ambiguous
Frequently asked questions
Source · Generated from the editorial pipeline, verified against 5 cited references ↓
01Does suture tape or internal brace augmentation qualify for CPT 27427?
02Can 29888 or 29889 be billed with 27427 on the same date?
03What modifier applies when 27427 is performed bilaterally in the same session?
04How do you bill an unplanned return to the OR for a wound complication during the 90-day global?
05When is modifier 22 appropriate for 27427?
06Can 27427 and 27428 be billed together for the same knee on the same day?
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/nationalcorrectcodinited/downloads/2017-ncci-correspondence-manual.pdf
- 03kzanow.comhttps://www.kzanow.com/coding-coaches/knee-ligament-repair-vs-reconstruction
- 04cms.govhttps://www.cms.gov/medicare/coding-billing/national-correct-coding-initiative-ncci-edits/medicare-ncci-faq-library
- 05aaos.orghttps://www.aaos.org/quality/coding-and-reimbursement/
Mira AI Scribe
Mira's AI scribe captures graft source (autograft vs. allograft), harvest site if autograft, specific ligament(s) reconstructed, fixation hardware details, and explicit extra-articular anatomic location from surgeon dictation. This prevents the most common audit flag on 27427 — operative notes that describe suture tape augmentation but omit biologic graft documentation, which causes payers to deny reconstruction-level reimbursement and downcode to repair.
See how Mira captures CPT 27427 documentation