ORTHOPEDICS

CPT 23412: Rotator cuff repair

What this code means, what it should cost, and how to dispute an overcharge.

Fair Price Reference

Medicare allowable
$1145
Typical charge range
$2500 – $12000
Markup vs Medicare
2.2x – 10.5x

What is CPT 23412?

Rotator cuff repair — surgical repair of one or more torn tendons in the shoulder's rotator cuff. Can be done arthroscopically (small incisions) or open (larger incision). 90-day global surgical period includes all routine post-op visits.

Typical setting: Hospital outpatient or ambulatory surgery center.

What CPT 23412 should cost

The Centers for Medicare & Medicaid Services (CMS) pays approximately $1145 for CPT 23412 under the 2025 Physician Fee Schedule. This is what the federal government has determined is a reasonable payment for this service.

Private insurance typically pays 1.2–1.8x Medicare rates ($1374–$2061). Hospital chargemaster prices for CPT 23412 often range from $2500 to $12000 — a markup of 2.2x to 10.5x over Medicare.

Common overcharges on CPT 23412

Watch for post-operative visits billed separately during the 90-day global period. Also verify that only one approach (open vs. arthroscopic) is billed — some claims include both an arthroscopy code and an open repair code for the same shoulder.

Moderate upcoding risk: Review documentation.

About Orthopedics billing

Orthopedic procedures — joint surgeries, fracture repairs, spine operations, and arthroscopy — are among the highest-billed categories in medicine. Facility fees, implant markups, and bundled post-operative care create frequent billing disputes.

Request the operative report — it documents exactly what was performed. For arthroscopy, verify that diagnostic and therapeutic codes are not both billed. For fracture care, confirm only one treatment method (closed or open) is charged. Check that follow-up visits within the global period are not separately billed.

How to dispute a CPT 23412 overcharge

  1. Request the itemized bill. You are entitled to a detailed line-by-line bill showing every CPT code billed. Ask in writing.
  2. Compare to Medicare allowable. If the charge exceeds 150% of Medicare ($1718), you have grounds to dispute.
  3. Request documentation. For E&M codes, ask for the visit note. For procedures, ask for the operative report. The documentation must justify the code billed.
  4. Send a formal dispute letter. Cite the specific discrepancy between the documentation and the code. Reference Medicare rates and NCCI edits where applicable.
  5. Follow up in writing. Give the provider 30 days to respond. If they don't, escalate to the state attorney general and insurance commissioner.

Got CPT 23412 on your bill?

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CPT 25600
Closed treatment, distal radius fracture
CPT 25607
Open treatment, distal radius fracture w/fixation
CPT 27130
Total hip replacement
CPT 27236
Open treatment, femoral fracture (hip pinning)

Related guides

Disclaimer: This information is educational and not legal, medical, or financial advice. Medicare rates and typical charge ranges are approximate and vary by geography and year. CPT is a registered trademark of the American Medical Association. Always verify codes and rates against official sources including the CMS Physician Fee Schedule and FAIR Health Consumer.