Aetna modified CPB 0660 covering knee arthroplasty procedures, effective February 27, 2026. Here's what billing teams need to do.
Aetna, a CVS Health company, updated Clinical Policy Bulletin 0660, which governs coverage for unicompartmental, bicompartmental, bi-unicompartmental, and total knee arthroplasty. The policy has been modified as of February 27, 2026; billing teams should review all criteria and code groupings against this updated version. If your practice bills CPT 27446, 27447, 27486, or 27487, this policy update directly affects your prior authorization submissions and claim support documentation.
Quick-Reference Table
| Field | Detail |
|---|---|
| Payer | Aetna, a CVS Health company |
| Policy | Unicompartmental, Bicompartmental, and Bi-unicompartmental Knee Arthroplasties |
| Policy Code | CPB 0660 Aetna system |
| Change Type | Modified |
| Effective Date | February 27, 2026 |
| Impact Level | High |
| Specialties Affected | Orthopedic Surgery, Physical Medicine & Rehabilitation, Pain Management, Radiation Oncology |
| Key Action | Audit conservative therapy documentation before submitting prior auth for CPT 27446 or 27447 — in-person PT notes are now explicitly required |
Aetna Knee Arthroplasty Coverage Criteria and Medical Necessity Requirements 2026
The Aetna knee arthroplasty coverage policy sets a multi-layered medical necessity standard. Members must have advanced joint disease with pain and functional disability that interferes with activities of daily living. The underlying cause must be osteoarthritis, rheumatoid arthritis, avascular necrosis, or post-traumatic arthritis.
Physical examination findings matter here. Aetna requires documented limited range of motion, crepitus, or effusion. You need imaging to support the diagnosis — specifically Kellgren-Lawrence Grade 3 or 4 osteoarthritis, radiographic evidence of avascular necrosis of the tibial or femoral condyle, or imaging showing rheumatoid arthritis with joint space narrowing.
The conservative therapy requirement is where most prior authorization denials originate. Aetna requires 12 weeks of non-surgical treatment for most members. That window extends to 24 weeks for members with relative contraindications to joint replacement. At least half of that therapy must be formal, in-person physical therapy with a licensed physical therapist — not home exercise programs and not virtual PT.
That in-person PT requirement is a hard line. Aetna won't accept virtual therapy or home programs as a substitute for formal PT when calculating whether the conservative therapy threshold is met. Your documentation must show PT notes, not just a physician's attestation that the member completed therapy.
The conservative therapy bundle must include anti-inflammatory medications or analgesics, flexibility and muscle strengthening exercises, activity modification, and supervised in-person physical therapy. For members with relative contraindications, assistive device use and therapeutic knee injections are also required — not optional.
Medical necessity for total knee arthroplasty (CPT 27447) or unicompartmental procedures (CPT 27446) can also be established through alternative pathways. These include failure of a previous osteotomy with pain interfering with ADLs, distal femur or proximal tibia malunion, fracture or nonunion, malignancy of the distal femur or proximal tibia, or failure of a previous unicompartmental knee replacement.
Whether knee arthroplasty is covered under this Aetna coverage policy depends heavily on what's in the chart before the authorization request goes in. Incomplete documentation is the most common reason these requests come back denied.
Aetna Knee Arthroplasty Exclusions and Non-Covered Indications
Aetna identifies several absolute contraindications that make total joint replacement not medically necessary. If any of these are present, the procedure won't clear medical necessity review regardless of other criteria.
The policy also flags specific procedure types and technologies as non-covered or experimental. Computer-assisted surgical navigation procedures — CPT 0054T, 0055T, and 20985 — fall outside the covered category under this policy. These codes appear in the policy's code set under a separate grouping, signaling that Aetna does not recognize them as medically necessary for knee arthroplasty.
Robotic-assisted surgery billed under HCPCS S2900 is listed separately as well. The policy addresses custom instrumentation for the procedure, and S2900 is explicitly grouped under that designation. Reimbursement for robotic add-on codes is not supported under CPB 0660.
Virtual reality procedural dissociation codes 0771T, 0772T, 0773T, and 0774T appear in the policy code set but are not covered for knee arthroplasty billing. Radiation treatment delivery codes 77402 through 77412 appear in the policy — these follow total knee arthroplasty for heterotopic ossification prevention — but their coverage is procedure-specific and not a standard component of the knee arthroplasty claim.
Patellofemoral-only disease also doesn't meet the imaging threshold. The policy's bone-on-bone articulation exception for conservative therapy only applies to medial and/or lateral compartments — not the patellofemoral compartment.
Coverage Indications at a Glance
| Indication | Status | Relevant Codes | Notes |
|---|---|---|---|
| Advanced osteoarthritis (K-L Grade 3 or 4) with failed conservative therapy | Covered | CPT 27447, ICD-10 M17.0–M17.9 | 12-week conservative therapy minimum; 24 weeks with relative contraindications; in-person PT required |
| Unicompartmental disease (medial or lateral) | Covered | CPT 27446 | Not covered for customized unicompartmental implants per code description |
| Patella arthroplasty | Covered | CPT 27437, 27438 | Criteria must be met; with and without prosthesis |
| Revision of total knee arthroplasty | Covered | CPT 27486, 27487 | Allograft included |
| Prosthesis removal, total knee | Covered | CPT 27488 | Includes methylmethacrylate with or without insertion |
| Failure of previous osteotomy with ADL-limiting pain | Covered | CPT 27447, ICD-10 M17.x | No conservative therapy requirement specified |
| Distal femur/proximal tibia fracture or nonunion | Covered | CPT 27447 | Imaging required to support |
| Malignancy of distal femur, proximal tibia, or adjacent soft tissue | Covered | CPT 27447 | Imaging required |
| Failure of previous unicompartmental replacement | Covered | CPT 27447 | Pain interfering with ADLs required |
| Avascular necrosis with condylar collapse | Covered | CPT 27447, ICD-10 M17.x | Conservative therapy may be inappropriate — document why in chart |
| Computer-assisted navigation (image-based) | Not Covered / Experimental | CPT 0054T, 0055T | Listed under non-covered grouping |
| Computer-assisted navigation (image-less) | Not Covered / Experimental | CPT 20985 | Same non-covered grouping |
| Robotic surgical system add-on | Not Covered | HCPCS S2900 | Listed under custom instrumentation — no separate reimbursement |
| Virtual reality procedural dissociation | Not Covered | CPT 0771T, 0772T, 0773T, 0774T | Not covered under this CPB |
| Genicular nerve ablation (standalone) | See Policy | CPT 64624 | Listed in code set; check current authorization requirements separately |
Aetna Knee Arthroplasty Billing Guidelines and Action Items 2026
This is the section to act on before your next authorization submission. The February 27, 2026 effective date means these standards apply to any claim submitted or auth requested on or after that date.
| # | Action Item |
|---|---|
| 1 | Pull your active prior authorization submissions for CPT 27446 and 27447. Any pending auth that lacks in-person physical therapy documentation should be supplemented now. Virtual PT and home exercise logs won't satisfy the conservative therapy requirement. Get the actual PT notes. |
| 2 | Verify the conservative therapy timeline matches the member's profile. Standard cases need 12 weeks of non-surgical treatment documented in the medical record — with at least half from formal, in-person PT. Members with relative contraindications need 24 weeks. Check the chart, not just the auth request form. |
| 3 | Confirm all six components of the conservative therapy bundle are documented. Anti-inflammatory medications or analgesics, flexibility and strengthening exercises, activity modification, supervised in-person PT, and — for members with relative contraindications — assistive device use and therapeutic knee injections. One missing element can trigger a claim denial. |
| 4 | Stop billing CPT 0054T, 0055T, and 20985 as covered add-ons for Aetna knee cases. These computer-assisted navigation codes are in the non-covered grouping under CPB 0660. If your surgeons use image-guided navigation, that's a carve-out — Aetna won't pay for it. Adjust your charge capture before billing Aetna patients for computer-navigated cases. |
| 5 | Remove HCPCS S2900 from Aetna knee arthroplasty claims. Robotic surgery add-on billing will not generate reimbursement under this coverage policy. Billing it anyway creates a denial that takes time to resolve and skews your denial metrics. |
| 6 | Use ICD-10 codes M17.0–M17.9 precisely. Aetna requires radiographic evidence of osteoarthritis. Pair the correct M17 code with imaging documentation in the chart. Pain codes like M25.561–M25.569 support the clinical picture but won't stand alone as the primary diagnosis on a knee arthroplasty claim. |
| 7 | If you bill radiation treatment delivery (CPT 77402–77412) post-TKA for heterotopic ossification prevention, keep those claims clearly separated. These codes appear in the policy but serve a distinct clinical purpose. Bundling or submitting them without clear documentation of the post-arthroplasty indication will invite scrutiny. |
If your practice has a high volume of Aetna knee arthroplasty cases and you're uncertain how these criteria apply to your specific patient mix, talk to your compliance officer before the effective date of February 27, 2026. The conservative therapy documentation requirements, in particular, have enough nuance that a documentation audit is worth doing proactively.
| Previous Version | Current Version |
|---|---|
| Coverage is considered experimental and investigational for all indications | Coverage is considered medically necessary when specific criteria are met |
| Prior authorization is not required | Prior authorization is required for initial treatment |
| Documentation must include clinical history | Documentation must include clinical history |
| Re-review every 24 months | Re-review every 12 months with updated clinical documentation |
CPT, HCPCS, and ICD-10 Codes for Knee Arthroplasty Under CPB 0660
Covered CPT Codes (When Selection Criteria Are Met)
| Code | Type | Description |
|---|---|---|
| 27437 | CPT | Arthroplasty, patella; without prosthesis |
| 27438 | CPT | Arthroplasty, patella; with prosthesis |
| 27446 | CPT | Arthroplasty, knee, condyle and plateau; medial OR lateral compartment (not covered for customized unicompartmental implants) |
| 27447 | CPT | Arthroplasty, knee, condyle and plateau; medial AND lateral compartments with or without patella resurfacing |
| 27486 | CPT | Revision of total knee arthroplasty, with or without allograft |
| 27487 | CPT | Revision of total knee arthroplasty, with or without allograft |
| 27488 | CPT | Removal of prosthesis, including total knee prosthesis, methylmethacrylate with or without insertion |
Covered HCPCS Codes (When Selection Criteria Are Met)
| Code | Type | Description |
|---|---|---|
| C1776 | HCPCS | Joint device (implantable) — FDA approved device |
Not Covered / Experimental Codes
| Code | Type | Description | Reason |
|---|---|---|---|
| 0054T | CPT | Computer-assisted musculoskeletal surgical navigation, with image-guidance | Non-covered under CPB 0660 |
| 0055T | CPT | Computer-assisted musculoskeletal surgical navigation, with image-guidance | Non-covered under CPB 0660 |
| 0771T | CPT | Virtual reality (VR) procedural dissociation services, same physician | Non-covered under CPB 0660 |
| 0772T | CPT | VR procedural dissociation, each additional 15 minutes (add-on) | Non-covered under CPB 0660 |
| 0773T | CPT | Virtual reality (VR) procedural dissociation, different physician | Non-covered under CPB 0660 |
| 0774T | CPT | VR procedural dissociation, each additional 15 minutes (add-on) | Non-covered under CPB 0660 |
| 20985 | CPT | Computer-assisted surgical navigation, image-less | Non-covered under CPB 0660 |
| S2900 | HCPCS | Surgical techniques requiring robotic surgical system (add-on) | Listed under custom instrumentation — not separately reimbursed |
Key ICD-10-CM Diagnosis Codes
| Code | Description |
|---|---|
| M17.0–M17.9 | Osteoarthritis of knee [with radiographic evidence] |
| M25.561–M25.569 | Pain in knee |
| M62.551–M62.553 | Muscle wasting and atrophy, not elsewhere classified, thigh |
| M00.861–M00.869 | Arthritis due to other bacteria, knee |
| M01.X61–M01.X69 | Direct infection of knee in infectious and parasitic diseases classified elsewhere |
| I87.2 | Venous insufficiency (chronic) (peripheral) |
| L08.0, L08.81, L88 | Pyoderma |
| A00.0–B99.9 | Infectious and parasitic diseases |
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