Which type of HCPCS codes primarily covers billing for items like equipment and lab tests?

Level 2 HCPCS codes are specifically designed to address billing for non-physician services, which include durable medical equipment, prosthetics, orthotics, and supplies, as well as various laboratory tests and other healthcare services not covered by the CPT (Current Procedural Terminology) system. These codes enable providers to submit claims for items that are essential in the treatment and care of patients, ensuring that healthcare services and necessary products are properly reimbursed by insurance companies.

The other levels of HCPCS codes serve different purposes: Level 1 codes are essentially equivalent to the CPT codes and focus on physician services and procedures; Level 3 codes, often used by state Medicaid programs, are less common and refer to specific codes developed for local use; and Level 4 codes are not typically recognized within the standard HCPCS classification. Thus, Level 2 codes are crucial for the billing of specific items and services that are necessary for patient care in a variety of healthcare settings.