POS 11 in Medical Billing: Office Place of Service Explained

POS 11 is the place of service code for an office: a private practice or clinic where providers routinely see patients on an outpatient basis. It is the most common place of service on professional claims, and Medicare pays services billed with it at the higher non-facility rate, because the practice pays for the space, staff and supplies.

What is POS 11?

CMS defines POS 11 (Office) as a “Location, other than a hospital, skilled nursing facility (SNF), military treatment facility, community health center, State or local public health clinic, or intermediate care facility (ICF), where the health professional routinely provides health examinations, diagnosis, and treatment of illness or injury on an ambulatory basis.” It is reported in box 24B of the CMS-1500 claim, or the matching field of the electronic 837P.

Why POS 11 changes the payment

The Medicare Physician Fee Schedule has two rates for many services. The non-facility rate, used for POS 11, includes the practice’s overhead. The facility rate, used when a hospital or other facility bills its own fee for the space and staff, is lower. Billing the wrong one either underpays the practice or overpays it, and overpayments are a common audit finding.

POS	Name	Medicare professional rate
11	Office	Non-facility
10	Telehealth provided in patient’s home	Non-facility
02	Telehealth provided other than in patient’s home	Facility
22	On campus-outpatient hospital	Facility
19	Off campus-outpatient hospital	Facility

When to use POS 11, and when not to

• Use POS 11 for a freestanding practice, including a practice owned by a hospital that is not registered as a provider-based hospital department.
• Use POS 22 or 19 when the clinic is a provider-based department of a hospital, on or off the main campus. The hospital bills a separate facility claim.
• Use POS 02 or 10 for Medicare telehealth, not POS 11. Some commercial plans instead ask for POS 11 with a telehealth modifier, so follow each contract.
• Use POS 20 for a separately registered urgent care facility, where the payer recognizes it.

Common POS 11 mistakes

• Defaulting every claim to 11 in the practice management system, including hospital and nursing facility visits.
• Billing 11 from a hospital outpatient department, which overstates the professional payment.
• Billing 11 for telehealth to Medicare.
• Using 11 for services in a patient’s home (POS 12) or an assisted living facility (POS 13).

Frequently asked questions

Is POS 11 paid more than POS 22?

For the professional claim, yes: POS 11 is paid at the non-facility rate. In a hospital outpatient department, the hospital also bills its own facility fee, so the total cost of the visit is usually higher there.

What is the difference between POS 11 and POS 12?

POS 11 is the provider’s office. POS 12 is the patient’s home, used for in-person home visits.

Related place of service guides

• POS 02: telehealth outside the patient’s home
• POS 10: telehealth in the patient’s home
• POS 02 vs. POS 10: which telehealth code to use
• POS 22: on-campus outpatient hospital

Place of service definitions are quoted from the CMS Place of Service code set (opens in a new tab). Telehealth rules have changed often since 2020 and differ by payer; this guide reflects general guidance as of October 2026.