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HCPCS J7354 · Level II · Part B drug

HCPCS J7354: Cantharidin for topical administration, 0.7%, single unit dose applicator (3.2

Reviewed by QuickIntell RCM Editorial Team · Last reviewed

Data effective
Data currency: ASP payment limits October 2026 (effective October 1, 2026); MUE and NCCI edits 2026 Q4 (effective October 1, 2026); OPPS Addendum B July 2026 (effective July 1, 2026). Next CMS release: January 1, 2027 (ASP, MUE, NCCI and OPPS quarterly updates).

Key facts for J7354

Billing unit
Per 3.2 mg single-use applicator
Cantharidin top, applicator
ASP payment limit
$683.472
October 2026; -1.7% vs July 2026
Practitioner MUE
2
MAI 3
OPPS status
SI G
APC 0707
NCCI exposure
no PTP pairs
Coverage articles
0
none list this code

TL;DR

HCPCS J7354 is the Level II code for Cantharidin for topical administration, 0.7%, single unit dose applicator (3.2, billed per Per 3.2 mg single-use applicator. The Medicare Part B ASP payment limit for October 2026 is $683.472 per billing unit, down 1.7% from July 2026. The practitioner MUE allows up to 2 units per date of service (MAI 3). Under OPPS it carries status indicator G in APC 0707. J7354 is billed in units of Per 3.2 mg single-use applicator; the quantity administered, the NDC package and the units on the claim must reconcile, which is the check that prevents CARC 16 and 151 returns on this line. The ASP crosswalk maps 2 NDCs to it, sold as Ycanth by Verrica Pharmaceuticals, Inc.. No current Billing and Coding Article lists J7354, so coverage follows the FDA label, compendia and any applicable NCD.

Medicare Part B payment limit (ASP)

CMS sets the Part B payment limit for J7354 at $683.472 per Per 3.2 mg single-use applicator for October 2026, derived from manufacturer average sales price plus 6%, compared with $695.208 in July 2026. Beneficiary coinsurance is 20%.

ASP payment limits for J7354
QuarterPayment limitPerCoinsurance
October 2026$683.472Per 3.2 mg single-use applicator20%
July 2026$695.208Per 3.2 mg single-use applicator—
Source: CMS Medicare Part B Drug Payment Limit File. Commercial and Medicaid payers set their own rates.

NDC to HCPCS billing-unit conversion

The October 2026 ASP crosswalk maps 2 NDCs from 1 labeler to J7354. Report the NDC in the claim's drug segment and bill the number of J7354 units that equals the quantity administered divided by Per 3.2 mg single-use applicator; the last column gives units per full package.

NDCs that crosswalk to J7354
NDCDrug nameLabelerPackage sizeBilling units / package
71349-0070-06YcanthVerrica Pharmaceuticals, Inc.0.45 × 66
71349-0070-11YcanthVerrica Pharmaceuticals, Inc.0.45 × 11

Medically Unlikely Edits (MUE)

CMS publishes 2 MUE values for J7354. For practitioners the limit is 2 units per date of service with adjudication indicator 3, a date-of-service clinical edit: units above the limit deny but can be paid on appeal with documentation that the quantity was medically reasonable.

MUE values for J7354 by setting
SettingMUE (units/DOS)MAICMS rationale
Practitioner services23 Date of Service Edit: ClinicalPrescribing Information
Facility outpatient hospital23 Date of Service Edit: ClinicalPrescribing Information

NCCI edits and add-on relationships

No active practitioner PTP pair lists J7354 as a column-1 or column-2 code in v323r0. Drug supply codes are rarely bundled; the administration codes billed with them are where PTP edits usually apply.

J7354 is neither an add-on code nor a designated primary code in the 2026 Q4 NCCI add-on edit file.

Medicare coverage articles

No current Billing and Coding Article lists J7354 in its HCPCS table. Coverage then follows the drug's FDA label, compendia and any National Coverage Determination; check the Medicare Coverage Database before administering off-label.

Hospital outpatient (OPPS) status

In the July 2026 OPPS Addendum B, J7354 carries status indicator G and is assigned to APC 0707, with a published national unadjusted payment of $695.21. Status G marks pass-through drug payment, which is time-limited.

Common denials for J7354 and how to prevent them

NDC missing, invalid or not matched to the HCPCS code

units billed exceed the MUE for the date of service

diagnosis not covered by the applicable coverage article or LCD

How QuickIntell checks J7354 before the claim leaves

QuickCode validates the NDC-to-unit conversion against the current ASP crosswalk, checks units against every published MUE setting and flags PTP and add-on conflicts on the same claim. QuickRCM routes CARC 16, 151 and 50 denials on drug lines with the matching coverage article attached so the appeal starts with evidence.

Frequently asked questions — HCPCS J7354

What does HCPCS code J7354 describe?

J7354 is defined by CMS as "Cantharidin for topical administration, 0.7%, single unit dose applicator (3.2". Each billing unit represents Per 3.2 mg single-use applicator, so the units reported on the claim must equal the dose administered divided by that unit.

What is the Medicare reimbursement for J7354 in October 2026?

The ASP-based payment limit is $683.472 per Per 3.2 mg single-use applicator, with 20% beneficiary coinsurance. Medicare Administrative Contractors apply this limit; commercial payers use their own fee schedules. The July 2026 limit was $695.208.

How many units of J7354 can be billed per day?

The practitioner Medically Unlikely Edit is 2 units per date of service with adjudication indicator 3 (3 Date of Service Edit: Clinical). MAI 3 edits can be appealed with documentation that the units were medically reasonable. CMS cites "Prescribing Information" as the rationale.

Which NDCs map to J7354?

The October 2026 ASP crosswalk lists 2 NDCs from 1 labeler: Ycanth (Verrica Pharmaceuticals, Inc.). For example NDC 71349-0070-06 is a 0.45 package equal to 6 billing units. The crosswalk's billing-units-per-package figure converts each package into J7354 units.

Does J7354 have NCCI bundling edits?

No active practitioner PTP pairs list J7354 as a column-1 or column-2 code in the v323r0 release. Unit limits (MUE) and medical-necessity coverage rules still apply.

Sources

Every figure on this page is taken from the CMS publications below, as released by the Centers for Medicare & Medicaid Services. Projection built 2026-10-01. Verify against the primary file before billing or contracting decisions.

Disclaimer

This page is an operational reference compiled from CMS publications: the Medicare Part B drug payment limit and NDC crosswalk files, NCCI MUE and add-on edit tables, aggregate PTP statistics, OPPS Addendum B and the Medicare Coverage Database. Payment limits are Medicare national amounts; commercial and Medicaid payers differ. CPT codes are shown as numbers only; CPT descriptors are copyright AMA. Nothing here is legal, clinical or billing advice.