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LCD L33563: Incision and Drainage (I & D) of Abscess of Skin, Subcutaneous and Accessory Structures

LCD L33563, Incision and Drainage (I & D) of Abscess of Skin, Subcutaneous and Accessory Structures, is the Local Coverage Determination that Wellpoint Federal applies to claims from 13 states (CT, DN, IL, MA, ME, MN, NH, NY and others), effective 2026-04-01 and first in force 2015-10-01. The policy text runs 681 words, and its billing and coding article A56766 lists 589 ICD-10-CM codes that support medical necessity for 7 procedure codes. No other contractor publishes a policy with this title.

QuickIntell editorial content · Legacy registry date · Review not verified

Data effective
Data currency: Medicare Coverage Database LCD export release of September 24, 2026 (effective September 20, 2026). Next CMS release: weekly (Thursdays) for the MCD.
Contractor
Wellpoint Federal
States and territories
13
CT DN IL MA ME MN NH NY QN RI UN VT WI
Revision effective
2026-04-01
Original effective
2015-10-01
Policy text
681 words
Covered ICD-10 codes (articles)
589

Where this LCD applies

Each contract number is a jurisdiction on the remittance; the policy binds claims processed under these contracts and no others.

Contracts that apply LCD L33563
ContractContractorTypeStates
06101Wellpoint FederalMAC - Part AIL
06201Wellpoint FederalMAC - Part AMN
06301Wellpoint FederalMAC - Part AWI
06102Wellpoint FederalMAC - Part BIL
06202Wellpoint FederalMAC - Part BMN
06302Wellpoint FederalMAC - Part BWI
13101Wellpoint FederalA and B and HHH MACCT
13201Wellpoint FederalA and B and HHH MACNY
13102Wellpoint FederalA and B and HHH MACCT
13202Wellpoint FederalA and B and HHH MACDN
13282Wellpoint FederalA and B and HHH MACUN
13292Wellpoint FederalA and B and HHH MACQN
14411Wellpoint FederalA and B and HHH MACRI
14211Wellpoint FederalA and B and HHH MACMA
14311Wellpoint FederalA and B and HHH MACNH
14511Wellpoint FederalA and B and HHH MACVT
14111Wellpoint FederalA and B and HHH MACME
14112Wellpoint FederalA and B and HHH MACME
14212Wellpoint FederalA and B and HHH MACMA
14312Wellpoint FederalA and B and HHH MACNH
14512Wellpoint FederalA and B and HHH MACVT
14412Wellpoint FederalA and B and HHH MACRI

Billing and coding: diagnoses and procedure codes

Since 2019 the codes live in the companion article rather than the LCD. Billing and Coding A56766 (Billing and Coding: Incision and Drainage (I&D) of Abscess of Skin, Subcutaneous and Accessory Structures) carries the diagnosis and procedure lists the contractor loads as the claims edit. CPT codes are shown as bare numbers because the descriptors are licensed by the AMA; HCPCS Level II descriptors are public and shown.

A56766: Billing and Coding: Incision and Drainage (I&D) of Abscess of Skin, Subcutaneous and Accessory Structures (Billing and Coding, effective 2026-04-01)

Covered ICD-10-CM codes
589
1 group
Non-covered ICD-10-CM codes
0
Procedure codes listed
7
Full article
cms.gov record
First 24 covered ICD-10-CM codes in A56766
ICD-10-CMDescription (FY2027)
J34.0—
K11.3—
K12.2—
K13.0—
K61.31—
K61.39—
K61.5—
K68.11—
K68.12—
K68.19—
K68.3—
K75.0—
L02.01—
L02.02—
L02.03—
L02.11—
L02.12—
L02.13—
L02.211—
L02.212—
L02.213—
L02.214—
L02.215—
L02.216—

Procedure codes: 10060, 10061, 10080, 10081, 10140, 10160, 10180.

Coverage indications, limitations and medical necessity

Abstract:

This local coverage determination (LCD) specifies the indications and limitations for incision and drainage services. Incision and drainage is a covered procedure for treating abscesses. Incision and drainage of non-abscess fluid collections is covered when medically necessary due to pain or inflammation. Repeated incision and drainage is not expected, however, in the case of hidradenitis, this may be experienced but the provider must document the reason that more definitive therapy is not appropriate.

Podiatrists are limited in scope of practice by State law. Only those ICD-10-CM codes that are appropriate for the scope of practice will be accepted as reimbursable.

The patient's medical record must contain documentation that fully supports the medical necessity for the incision and drainage as well as a full description of the procedure performed.

Indications:

Incision and drainage or puncture aspiration describes the mechanical task of introducing a sharp sterile instrument into a discrete subcutaneous collection of pus, blood or other fluid for the purpose of removing from the lesion said pus, bacteria, blood, necrotic tissue, or other toxins, to promote resolution of infection, inflammation, and pain or to obtain material for diagnostic analysis.

An abscess is a circumscribed collection of pus of any size in any location, and as such represents an infection. Abscesses usually exhibit one or more of the following clinical findings: redness, warmth, tenderness, fluctuance, edema, lymphangitis. A lesion not exhibiting such signs or symptoms and that does not contain pus or infected purulent fluid is not an abscess, but may be some other type of process requiring incision and drainage such as a hematoma, seroma, bulla or cyst. A simple abscess generally requires only a single puncture or single incision. A complicated abscess with infection and necrosis usually requires more effort to treat. Examples of complicated abscesses are the following: an abscess with 3-4 tracks requiring breaking up of loculated compartments; an abscess requiring undermining of the skin and subcutaneous tissue and extensive laying open of the cavity. In these circumstances, at minimum, locally injected anesthesia is usually required.

Incision and drainage services are covered for treating abscesses (e.g., carbuncle, suppurative hidradenitis, cutaneous or subcutaneous abscess, cyst, furuncle, post-operative wound infections, or paronychia). Incision and drainage of hematomas, seromas, cysts or other pathologic fluid collections are covered when medically necessary due to pain, inflammation or infection.

Paronychia is an acute or chronic inflammation of the periungual tissues, which may be associated with infection, purulence and granulation tissue. Acute paronychia is treated by relieving pressure on the soft tissues either by packing or by removing a section of nail plate and packing. This usually allows for sufficient drainage to avoid the need for incision and drainage of the soft tissues. This technique is used in the foot with some modifications including the removal of larger sections of nail plate and correction of pathomechanical foot function. However, this technique does not involve the direct incision and drainage of a discrete soft tissue pus or fluid collection and should not be billed as an incision and drainage service.

Limitations:

Incision and drainage of an abscess is limited to lesions with documented abscess and/or pus collection and is not appropriate for treatment of blisters, cysts (including sebaceous cyst), or other fluid collections without the documented presence of discrete abscess, pus collection, pain, infection or inflammation.

If there is inflammation adjacent to a nail or ingrown nail and the only service provided is trimming the edge of the nail, the incision and drainage codes should not be used. Trimming the nail to prevent recurrence of paronychia is considered to be routine foot care, which has limited coverage.

Incision and drainage services are not payable for treatment of blisters unless there is superinfection with pus and abscess formation.

Providers performing permanent correction of recurring ingrown nail by nail resection (plate, bed, and nail matrix, partial or complete) or by wedge excision of the nail lip, should not bill incision and drainage services. Removal of lytic fragments of the nail plate to relieve symptoms of inflammation without infection of the soft tissues is a routine foot care procedure.

Summary of evidence (opening)

N/A

the full summary and analysis of evidence are in the CMS record.

Dates, lineage and related policies

Original determination effective
2015-10-01
Current revision effective
2026-04-01
Last reviewed by the contractor
2017-03-09
MCD version
27
Derived from
L28490

Using this policy on a claim

Match the documented indication to the covered indications above before the service is scheduled, carry a diagnosis from the article's covered list on the claim line, and keep the elements the documentation section asks for in the record, because the contractor can request it later through medical review. A denial under this policy arrives as CARC 50 with remark N115; the LCD lookup guide walks through the appeal path and the Advance Beneficiary Notice rules, and the Wellpoint Federal hub lists every other active policy from the same contractor.

Frequently asked questions

What does LCD L33563 cover?

This local coverage determination (LCD) specifies the indications and limitations for incision and drainage services. Incision and drainage is a covered procedure for treating abscesses. Incision and drainage of non-abscess fluid collections is covered when medically necessary due to pain or inflammation. Repeated incision and drainage is not expected, however, in the case of hidradenitis, this may be experienced… The full indications and limitations are reproduced on this page from the CMS Medicare Coverage Database export of September 24, 2026.

Which states does LCD L33563 apply to?

Wellpoint Federal applies it to Medicare claims in CT, DN, IL, MA, ME, MN, NH, NY, QN, RI, UN, VT, WI. A Local Coverage Determination binds only the contractor that wrote it; the same service in another jurisdiction is judged under that contractor's own policy or, where none exists, claim by claim.

Which diagnosis codes support medical necessity under LCD L33563?

The companion billing and coding article A56766 lists 589 ICD-10-CM codes in 1 group that support medical necessity; the first 24 appear on this page and the complete list is in the article on cms.gov.

How do I appeal a denial under LCD L33563?

The remittance carries claim adjustment reason code 50 with remark code N115, naming the LCD. Compare the documented indication with the policy's covered indications and the article's diagnosis list, then file a redetermination within 120 days with the record attached; if the service genuinely falls outside the policy, the patient can be billed only when a valid Advance Beneficiary Notice was obtained before the service.

Sources

Every figure on this page is taken from the CMS publications below, as released by the Centers for Medicare & Medicaid Services. Projection built 2026-10-02. Verify against the primary file before billing or contracting decisions.

Disclaimer

The policy text and code lists are reproduced from the CMS Medicare Coverage Database export as an operational reference. Verify against the current LCD and article on cms.gov before billing; coverage depends on the full record and the contractor. Not legal, clinical or billing advice.