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Telehealth Billing in 2026: Solving the POS 02 vs. 10 & Modifier 95 Confusion

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Accurate telehealth billing is essential for clean claims and timely payments in 2026. While no single rule fits every payer, there are clear, proven guidelines to navigate location codes and modifiers correctly. Here’s how you can bill telehealth with confidence and avoid costly denials.

Use the Correct Place of Service (POS) Code

POS codes tell payers where the patient was during the visit—this directly impacts your reimbursement rate.

What to include:

POS 10 when the patient is at home
POS 02 when the patient is in a clinic or facility
Never guess—verify location before coding
Document the setting in clinical notes

These steps ensure claims reflect reality and meet payer requirements for telehealth payment.

Apply Modifier 95 Appropriately

Modifier 95 confirms your visit used real-time audio and video—not just a phone call. It’s required by Medicare and most commercial insurers.

Tips:

Use only for live video visits
Never pair with audio-only services
Attach to E/M or psychotherapy codes
Check payer-specific modifier rules

Stay Physically Active

Moderate exercise improves circulation and supports the movement of immune cells. 30 minutes of walking, cycling, or stretching daily can strengthen your body’s response to illness. Avoid excessive high-intensity training, which may temporarily suppress immunity.

Maintain a regular sleep schedule
Avoid screens before bed
Create a calming bedtime routine

Verify Patient Location Before Every Visit

Knowing where your patient is located during a telehealth session determines whether to use POS 10 or POS 02. Guessing can trigger audits or underpayment.

Ask the patient at check-in
Update intake forms to include location
Train front desk staff on verification
Record location in the EHR

Accurate location coding protects your revenue and ensures compliance.

Final Thoughts

While you can’t control every payer rule, consistent attention to POS codes, modifiers, and documentation gives your claims the best chance of success. Small, consistent habits—verifying location, using Modifier 95 correctly, and staying payer-informed—go a long way in securing your practice’s revenue.

Prevention is better than correction. Start with your telehealth billing checklist—your bottom line will thank you.

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Dr. Jenifer Olivia

Cardiologist, Maxcare Hospital

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