Understanding CPT 98977 for Musculoskeletal Device Supply Billing
Current Procedural Terminology (CPT) code 98977 is one of the key billing codes used in Remote Therapeutic Monitoring (RTM) for musculoskeletal conditions. It covers the supply of an RTM device and the ongoing collection of patient data over a 30-day period.
Used correctly, CPT 98977 can provide consistent, recurring revenue for physical therapy and rehabilitation practices. This guide explains what the code covers, how to meet compliance requirements, and how to submit clean claims that get paid the first time.
What CPT 98977 Covers
CPT 98977 is billed when a clinic provides a musculoskeletal patient with an RTM device and monitors their data for a minimum of 16 days within a 30-day period.
The service includes:
Supplying a device that can collect and transmit patient data
Ensuring the device is configured for the patient’s specific condition
Monitoring the patient’s use of the device and data submission
Documenting the ongoing interaction and results
Typical use cases include post-operative recovery, injury rehabilitation, or chronic condition management where musculoskeletal progress is tracked remotely.
The 16-Day Requirement
As with CPT 98975, the Centers for Medicare & Medicaid Services (CMS) and most commercial payers require that the patient’s device collects and transmits data for at least 16 days in a 30-day billing cycle to qualify for reimbursement.
Qualifying activities can include:
Completing prescribed home exercise programs via the device
Logging pain scores or functional outcomes
Submitting range-of-motion or activity data through connected sensors
Pro tip: If you also bill CPT 98975 for initial setup and education, ensure your records clearly show that CPT 98977 covers the subsequent device supply and monitoring period, not the initial setup.
Reimbursement Rates
Reimbursement for CPT 98977 depends on payer contracts:
CMS national average: $45.23
Commercial and motor vehicle accident (MVA) insurance: Often higher, with many clinics setting a fee schedule of $90 to reflect higher commercial rates
Because CPT 98977 can be billed every 30 days, it is an important recurring revenue opportunity for clinics managing ongoing rehabilitation.
How to Bill CPT 98977 Step-by-Step
Confirm patient eligibility – Verify coverage for RTM services.
Provide the device – Document the device type, configuration, and instructions given.
Track engagement – Ensure at least 16 days of valid data are collected in the billing cycle.
Submit the claim – Include CPT 98977, place of service (11), and applicable modifiers.
Attach documentation – Billing report, patient usage logs, and any notes relevant to the monitoring period.
Modifiers and Special Rules
KX Modifier – Required if the patient is at or near their therapy cap.
CQ Modifier – Not applicable to CPT 98977, regardless of whether a physical therapist assistant (PTA) is involved in monitoring.
No co-pay – CPT 98977 is not considered a clinic visit, so no co-pay or authorized visit should be charged.
Common Billing Mistakes
Avoid these errors to reduce the risk of denials:
Billing before the patient reaches 16 days of data
Confusing CPT 98977 with CPT 98975 (setup code)
Missing or incomplete device usage documentation
Incorrect date of service — use the date of claim submission
How Orva Simplifies CPT 98977 Billing
Orva’s Remote Therapeutic Monitoring platform automatically logs daily device activity, generates billing reports, and stores all documentation in one place. Clinics using Orva have the data needed to bill CPT 98977 confidently and get reimbursed without administrative headaches.
Key Takeaway: CPT 98977 allows clinics to bill for ongoing RTM device supply and monitoring for musculoskeletal patients, but only when the 16-day rule is met and documentation is complete. With the right tracking tools and workflows, it can become a reliable monthly revenue stream.
Ready to build an RTM program the right way? Schedule a demo to see how Orva supports compliant, high-performing remote monitoring from day one.