CPT code 40490: Lip biopsy, lip tissue2026 Medicare rate & RVUs in Michigan

Reports a biopsy of lip tissue to obtain a specimen from a suspicious lip lesion for diagnostic examination.

CMS RVU26DEffective Oct 1, 20262 payment localities26.4K Medicare services in 2024

Medicare pays $114.11–$120.32 for 40490 in the office in Michigan, from Rest of Michigan to Detroit, MI. Which amount applies depends on the service address.

$114.11–$120.32Office (non-facility)
$55.56–$58.43Hospital or facility

Medicare allowed amount for participating (non-QP) physicians, before deductible, coinsurance and claim adjustments. Not a patient’s bill or a hospital charge.

Your location

Medicare pays by the payment locality where the service is performed.

On this page 9 sections
  1. Rate in Michigan
  2. What 40490 covers
  3. By payment locality
  4. How it’s calculated
  5. Payment rules
  6. Similar codes
  7. Related codes
  8. Billing questions
  9. Sources

What 40490 covers

A clinician removes a tissue sample from a lip lesion for diagnostic evaluation. This service is commonly performed by dermatologists, otolaryngologists, oral surgeons, and other clinicians who evaluate lip abnormalities in an office or facility setting. The target must be on the lip; a lesion elsewhere in the mouth has a site-specific biopsy code. A biopsy obtains a diagnostic sample rather than removing a lesion as definitive treatment.

Select the code from the documented biopsy site and procedure, and retain the operative note describing the lip location, lesion, and tissue sampled. The specimen may be sent for separate pathology evaluation. CMS assigns a 0-day global period, so same-day preoperative and postoperative care is included. When multiple procedures are performed in the same session, the highest-valued procedure is paid in full and other procedures are subject to the standard 50% multiple-procedure reduction. Modifier 50 is inappropriate for this code. CMS does not pay for an assistant at surgery, co-surgeons, or team surgery for this service.

This summary was written with AI assistance from CMS physician fee schedule data and checked against the CMS billing rules shown here. Rates on this page come directly from CMS files.

Where 40490 pays more and less in Michigan

40490 office and facility rates by payment locality
Payment localityOfficeFacility
Detroit, MI$120.32$58.43
Rest of Michigan$114.11$55.56

How the 40490 rate is calculated

Each of 40490’s three RVUs is multiplied by a geographic index (GPCI) for the payment locality, added up, and multiplied by the conversion factor. Drag the indexes or enter a ZIP to see what moves the rate.

How the rate is built · 40490

RVUs × geographic indexes × conversion factor

Office or facility?

Work1.19

1.19 RVUs× 1.000 GPCI

Practice expense2.29

2.29 RVUs× 1.000 GPCI

Malpractice0.12

0.12 RVUs× 1.000 GPCI

Adjusted RVUs

3.6000

Conversion factor

$33.4009

Medicare rate

$120.24

Every GPCI starts at 1.000, the national rate. Enter a ZIP or drag a slider.

Payment rules and modifiers for 40490

The CMS indicators that decide how 40490 is paid alongside other services.

CMS payment indicators · 40490

Lip biopsy, lip tissue

RuleCMS valueWhat it means
Global period000Same-day global: pre- and post-op care on the day of the procedure is included.
Multiple procedures2Standard reduction: highest-valued procedure at 100%, others at 50%.
Bilateral (modifier 50)0The 150% bilateral adjustment doesn’t apply.
Assistant at surgery (80/81/82/AS)1Not paid (statutory restriction).
Co-surgeons (62)0Not permitted.
Team surgery (66)0Not permitted.
Professional/technical0Physician service: no professional/technical split.

What modifiers do to the payment

Modifier 51 · payment effect

With and without the modifier

40490 without 51 · national office

$120.24

Lip biopsy, lip tissue

40490-51 · Second procedure: 50%

$60.12

When this isn’t the highest-valued procedure in the session, Medicare pays 50% of its fee schedule amount (the highest is paid at 100%).

When to use modifier 51

40490 compared with similar codes

Compare codes · National

4 codes, side by side

Office or facility?

  • 40490

    Lip biopsy, lip tissue1.19 wRVU

    $120.24

  • 40808

    Mouth biopsy, oral vestibule1.02 wRVU

    $168.01+$47.77

  • 41100

    Tongue biopsy, anterior two-thirds1.38 wRVU

    $188.05+$67.81

  • 11104

    Punch biopsy, single skin lesion0.81 wRVU

    $121.25+$1.01

How to choose

40808Mouth biopsyOral vestibule
40490 is for lip tissue; 40808 is for a lesion in the vestibule of the mouth. Base selection on the documented biopsy site.
41100Tongue biopsyAnterior two-thirds
Use 41100 when the sampled lesion is on the tongue. A lip lesion is reported with 40490.
11104Punch biopsySingle skin lesion
11104 describes a punch biopsy of a skin lesion. Consider it for a skin target outside the lip, rather than a biopsy of lip tissue.

40490 billing questions

How is 40490 distinguished from a biopsy elsewhere in the mouth?

Use 40490 when the sampled tissue is on the lip. Biopsies of the tongue, floor of mouth, palate, or oral vestibule have site-specific codes.

Is 40490 a biopsy or an excision?

It reports obtaining a diagnostic tissue sample from the lip. If the procedure removes a lesion rather than sampling it for diagnosis, evaluate the applicable excision code instead.

Can modifier 50 be used when both lips are sampled?

No. CMS bilateral adjustment does not apply to 40490, and modifier 50 is inappropriate for this descriptor and anatomy.

What same-day care is included?

The 0-day global period includes the related preoperative and postoperative care furnished on the procedure date.

How does CMS handle 40490 with another procedure in the same session?

The highest-valued procedure is paid in full, and other procedures are subject to the standard multiple-procedure reduction, with payment at 50%.

What documentation supports reporting 40490?

Document that the sampled lesion is on the lip, its location and clinical description, and the tissue obtained. Include the procedure details and specimen disposition.

Where these rates come from

FeeBase calculates base physician payments from CMS work, practice-expense and malpractice RVUs, adjusted by each locality’s geographic indexes and the conversion factor. Services without a published rate are labeled, never given a made-up amount. Amounts are Medicare allowed amounts before claim adjustments: not a patient’s bill or a commercial rate.

CMS RVU26D · effective Oct 1, 2026 through the day before Jan 1, 2027

Show the CMS file lines behind this rate
RVUs for 40490PPRRVU2026_Oct_nonQPP.csv, line 4,819 (RVU26D)

Open CMS sourceHow we calculate rates

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