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NCD 260.3 · version 3

NCD 260.3: Pancreas Transplants

Reviewed by QuickIntell RCM Editorial Team · Last reviewed

Data effective
Data currency: Medicare Coverage Database release of September 24, 2026 (effective September 20, 2026). Next CMS release: weekly (every Thursday) for the MCD; quarterly for lab NCD code lists.

Key facts for NCD 260.3

Benefit category
Inpatient Hospital Services
Effective date
04/26/2006
Implemented 07/03/2006
Transmittal
Transmittal 56
Versions published
3
Manual chapter
260
NCD Manual (Pub. 100-03)

TL;DR

NCD 260.3 sets Medicare's national policy for pancreas transplants under the benefit category "Inpatient Hospital Services", effective 04/26/2006 and implemented 07/03/2006. Effective for services performed on or after July 1, 1999, whole organ pancreas transplantation is nationally covered by Medicare when performed simultaneous with or after a kidney transplant. If the pancreas transplant occurs after the kidney transplant,… It has been revised 2 times since publication and binds every Medicare Administrative Contractor nationally.

Item or service described

A. General

Pancreas transplantation is performed to induce an insulin-independent, euglycemic state in diabetic patients. The procedure is generally limited to those patients with severe secondary complications of diabetes, including kidney failure. However, pancreas transplantation is sometimes performed on patients with labile diabetes and hypoglycemic unawareness.

Indications and limitations of coverage

B. Nationally Covered Indications

Effective for services performed on or after July 1, 1999, whole organ pancreas transplantation is nationally covered by Medicare when performed simultaneous with or after a kidney transplant. If the pancreas transplant occurs after the kidney transplant, immunosuppressive therapy begins with the date of discharge from the inpatient stay for the pancreas transplant.

Effective for services performed on or after April 26, 2006, pancreas transplants alone (PA) are reasonable and necessary for Medicare beneficiaries in the following limited circumstances:

• PA will be limited to those facilities that are Medicare-approved for kidney transplantation. (Approved centers can be found at http://www.cms.gov/ESRDGeneralInformation/02_Data.asp#TopOfPage

• Patients must have a diagnosis of type I diabetes:

• Patient with diabetes must be beta cell autoantibody positive; or

• Patient must demonstrate insulinopenia defined as a fasting C-peptide level that is less than or equal to 110% of the lower limit of normal of the laboratory's measurement method. Fasting C-peptide levels will only be considered valid with a concurrently obtained fasting glucose ≤ 225 mg/dL;

• Patients must have a history of medically-uncontrollable labile (brittle) insulin-dependent diabetes mellitus with documented recurrent, severe, acutely life-threatening metabolic complications that require hospitalization. Aforementioned complications include frequent hypoglycemia unawareness or recurring severe ketoacidosis, or recurring severe hypoglycemic attacks;

• Patients must have been optimally and intensively managed by an endocrinologist for at least 12 months with the most medically-recognized advanced insulin formulations and delivery systems;

• Patients must have the emotional and mental capacity to understand the significant risks associated with surgery and to effectively manage the lifelong need for immunosuppression; and,

• Patients must otherwise be a suitable candidate for transplantation.

C. Nationally Non-Covered Indications

The following procedure is not considered reasonable and necessary within the meaning of section 1862(a)(1)(A) of the Social Security Act:

• Transplantation of partial pancreatic tissue or islet cells (except in the context of a clinical trial (see section 260.3.1 of the National Coverage Determinations Manual ).

D. Other

Not applicable.

(This NCD last reviewed April 2006.)

Text reproduced from the CMS Medicare Coverage Database record for NCD 260.3 version 3. View the original on cms.gov.

Revision history

05/2006 - Pancreas transplants alone are covered under Medicare in limited circumstances. Effective date 04/26/2006. Implementation date for Carriers no later than 07/03/2006. Effective date for FI's 10/02/2006. ( TN 56 ) (CR 5093)

07/2004 - Covered costs of transplantation of pancreatic islet cell, but only in context of an NIH-sponsored clinical trial. Effective date 10/01/2004. Implementation date 10/04/2004. ( TN 18 ) (CR 3385)

04/2000 - Corrected ICD-9-CM code from 52.83 to 52.82, and deleted reference to 36-month period of entitlement. Effective and implementation dates 10/01/2000. ( TN 124 ) (CR 1132)

08/1999 - Removed requirement that procedure must be performed simultaneously with or after a Medicare covered kidney transplant. Effective and implementation dates 07/01/1999. (TN 119) (CR 929)

04/1999 - Specified that procedure only covered when performed simultaneously with or after a Medicare covered kidney transplant. Noncoverage of procedure continues for patients who have not experienced end stage renal failure secondary to diabetes. Effective date 07/01/1999. (TN 115) (CR 818)

How this NCD shows up on remittances

A service denied under a National Coverage Determination returns CARC 50 (not deemed medically necessary) with remark N386 (decision based on an NCD); a denial citing a local policy instead carries N115. Because NCDs bind nationally, the appeal path is documentation that the patient meets the indications above, not a contractor-policy argument.

How QuickIntell applies NCD 260.3

QuickAuth checks the ordered service and diagnosis against NCD and LCD criteria before the encounter, QuickCode validates the diagnosis pairing on the claim, and QuickRCM routes CARC 50 denials with the policy text and the covered-code list attached so the appeal starts with evidence.

Frequently asked questions — NCD 260.3

What does NCD 260.3 cover?

Effective for services performed on or after July 1, 1999, whole organ pancreas transplantation is nationally covered by Medicare when performed simultaneous with or after a kidney transplant. If the pancreas transplant occurs after the kidney transplant, immunosuppressive therapy begins with the date of discharge from the inpatient stay for the pancreas transplant. The full indications and limitations are reproduced on this page from the CMS Medicare Coverage Database.

When did NCD 260.3 take effect?

The current version (3) is effective 04/26/2006, implemented 07/03/2006, published in transmittal 56. CMS lists 3 versions of this NCD.

Does a Local Coverage Determination override NCD 260.3?

No. A National Coverage Determination binds all Medicare Administrative Contractors; an LCD can only address services or circumstances the NCD leaves open. Claims denied under this NCD typically return CARC 50 with remark N386 (NCD) rather than N115 (LCD).

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

This page reproduces the CMS National Coverage Determination text and, for laboratory NCDs, the CMS ICD-10 edit lists, as an operational reference. Coverage decisions depend on the full policy, the claim and the contractor; nothing here is legal, clinical or billing advice. CPT codes are shown as numbers only; CPT descriptors are copyright AMA.