Medical Coding Practice Test 2026 – Comprehensive All-in-One Guide to Success!

The term "unbundling" in medical coding refers to the practice of separating services that should be billed as a single bundled charge. In medical billing, certain services are often grouped together (bundled) under a single code for ease of billing and to provide a comprehensive view of care delivered during a particular episode or procedure. When providers unbundle these codes, they submit claims for each individual service instead of the bundled charge, which can lead to increased reimbursement but is often against payer guidelines.

This practice is typically frowned upon because it can lead to overbilling or an inflated perception of the complexity of care provided, complicating the claims process and resulting in potential audits or penalties. A solid understanding of bundled versus unbundled services is crucial for accurate and ethical medical coding, ensuring compliance with billing regulations and standards.