TL;DR: The Centers for Medicare & Medicaid Services modified NCD 70, the National Coverage Determination governing Medicare adult liver transplantation coverage policy, effective January 9, 2026. Here's what billing teams need to act on now.
This update to NCD 70 Medicare documentation consolidates the coverage framework for adult liver transplantation across multiple effective dates — from 1996 through 2012 — into a single, reviewable policy. The CMS liver transplantation coverage policy governs which indications qualify for Medicare reimbursement, which remain nationally non-covered, and which fall to Medicare Administrative Contractor (MAC) discretion at the local level. No specific CPT or HCPCS codes are listed in the current policy document, so your billing team will need to cross-reference your transplant center's charge master against the criteria outlined below.
Quick-Reference Table
| Field | Detail |
|---|---|
| Payer | CMS (Centers for Medicare & Medicaid Services) |
| Policy | Adult Liver Transplantation — NCD 70 |
| Policy Code | NCD 70 |
| Change Type | Modified |
| Effective Date | January 9, 2026 |
| Impact Level | High |
| Specialties Affected | Transplant surgery, hepatology, oncology, inpatient hospital billing, revenue cycle |
| Key Action | Audit your facility's CMS approval status and confirm that documentation supports the specific covered indication before submitting claims |
CMS Adult Liver Transplantation Coverage Criteria and Medical Necessity Requirements 2026
The CMS adult liver transplantation coverage policy has layered coverage indications built up over nearly three decades. Each layer carries its own effective date and its own medical necessity criteria. Your billing team needs to know which layer applies to the patient's diagnosis — and document accordingly.
End-Stage Liver Disease (Non-Malignant, Non-Hepatitis B)
Coverage for end-stage liver disease excluding hepatitis B and malignancies became effective July 15, 1996. The single hard requirement: the procedure must be performed at a CMS-approved facility. There are no additional clinical criteria listed in the national policy for this indication beyond facility approval status.
If your facility lost CMS approval or is pending renewal, claims for this indication will deny. Verify approval status before submitting.
End-Stage Liver Disease Including Hepatitis B
CMS extended coverage to include hepatitis B-related end-stage liver disease on December 10, 1999. Again, the controlling requirement is CMS facility approval. Document the hepatitis B etiology clearly in the claim record — vague "end-stage liver disease" documentation leaves the door open for a medical necessity challenge.
Hepatocellular Carcinoma (HCC)
This is the most criteria-heavy covered indication. Effective September 1, 2001, Medicare covers adult liver transplantation for hepatocellular carcinoma when all five conditions are met:
| # | Covered Indication |
|---|---|
| 1 | The patient is not a candidate for subtotal liver resection |
| 2 | The patient's tumor or tumors measure 5 cm or less in diameter |
| 3 | There is no macrovascular involvement |
| 4 | There is no identifiable extrahepatic spread to surrounding lymph nodes, lungs, abdominal organs, or bone |
| 5 | The transplant is performed at a CMS-approved facility |
Every one of these criteria must be documented. Missing even one — say, a radiology report that doesn't explicitly address macrovascular involvement — creates a claim denial risk. The Milan Criteria framework maps closely to these requirements, so if your transplant team uses that language, make sure it also maps explicitly to these five CMS criteria in the medical record.
MAC-Level Coverage for Certain Malignancies
Effective June 21, 2012, CMS gave Medicare Administrative Contractors the authority to determine coverage for three specific malignancy indications within their jurisdictions:
| # | Covered Indication |
|---|---|
| 1 | Extrahepatic unresectable cholangiocarcinoma (CCA) |
| 2 | Liver metastases due to neuroendocrine tumor (NET) |
| 3 | Hemangioendothelioma (HAE) |
This matters a lot for your billing team. Coverage for CCA, NET, and HAE transplants is not nationally uniform. Your MAC may cover these — or may not. Contact your MAC directly before submitting claims for these indications. A local coverage determination (LCD) may exist in your jurisdiction that governs this. Do not assume coverage because another facility in a different MAC jurisdiction got paid.
Follow-Up Care and Re-Transplantation
Follow-up care and re-transplantation required as a result of a covered liver transplant are covered when the services are otherwise reasonable and necessary. This applies even for patients discharged after a non-covered liver transplant — follow-up care for that population is still covered if it meets Medicare's reasonable and necessary standard. Make sure your post-transplant billing workflows account for this distinction.
Immunosuppressive Drugs
The policy references immunosuppressive drug coverage under the Medicare Benefit Policy Manual, Chapter 15, §50.5.1 and the Medicare Claims Processing Manual, Chapter 17, §80.3. Immunosuppressive drug billing is governed separately. If your team handles post-transplant pharmacy billing, review those manual sections independently of this NCD.
CMS Adult Liver Transplantation Exclusions and Non-Covered Indications
The policy is direct on this: adult liver transplantation for malignancies other than hepatocellular carcinoma — and the three MAC-discretionary indications (CCA, NET, HAE) — remains nationally non-covered.
That's a meaningful exclusion. If a patient presents with a primary liver malignancy that doesn't meet the HCC criteria or doesn't fall under CCA, NET, or HAE, there is no Medicare coverage pathway at the national level. The transplant would be non-covered, and billing Medicare for it creates a false claims exposure.
The real issue here is the MAC-discretionary middle ground. CCA, NET, and HAE aren't nationally non-covered — they're in a gray zone. Your MAC may or may not have issued an LCD covering them. If no LCD exists in your jurisdiction, the default is non-coverage. Check your MAC's website for active LCDs before proceeding.
Coverage Indications at a Glance
| Indication | Status | Notes |
|---|---|---|
| End-stage liver disease (non-malignant, non-hepatitis B) | Covered (eff. July 15, 1996) | CMS-approved facility required |
| End-stage liver disease with hepatitis B | Covered (eff. December 10, 1999) | CMS-approved facility required |
| Hepatocellular carcinoma (HCC) — within Milan-equivalent criteria | Covered (eff. September 1, 2001) | Five specific clinical criteria must ALL be met; CMS-approved facility required |
| Extrahepatic unresectable cholangiocarcinoma (CCA) | MAC Discretion (eff. June 21, 2012) | Check your MAC for active LCD; not nationally covered |
| Liver metastases due to neuroendocrine tumor (NET) | MAC Discretion (eff. June 21, 2012) | Check your MAC for active LCD; not nationally covered |
| Hemangioendothelioma (HAE) | MAC Discretion (eff. June 21, 2012) | Check your MAC for active LCD; not nationally covered |
| Follow-up care after covered transplant | Covered | Must meet reasonable and necessary standard |
| Follow-up care after non-covered transplant | Covered | Items and services only; reasonable and necessary per Medicare guidelines |
| Re-transplantation after covered transplant | Covered | Must meet reasonable and necessary standard |
| Liver transplantation for other malignancies | Not Covered | National exclusion; no coverage pathway |
| Immunosuppressive drugs | See manual references | Governed by Medicare Benefit Policy Manual Ch. 15 §50.5.1 and Claims Processing Manual Ch. 17 §80.3 |
CMS Adult Liver Transplantation Billing Guidelines and Action Items 2026
The January 9, 2026 effective date on this modification means your billing team should treat these as active requirements now — not future ones.
| # | Action Item |
|---|---|
| 1 | Confirm your facility's CMS approval status today. Every covered indication under NCD 70 requires a CMS-approved facility. If your approval has lapsed, expired, or is under review, no claim for any indication will survive scrutiny. Pull your approval documentation and verify the current status before submitting any liver transplantation billing. |
| 2 | Build a documentation checklist for HCC claims. The five-criteria requirement for hepatocellular carcinoma is the most claims-vulnerable part of this policy. Create a pre-submission checklist that verifies: resection candidacy documentation, tumor size measurement from imaging, macrovascular involvement ruling, and extrahepatic spread workup. All five criteria need to be in the medical record, not just implied. |
| 3 | Contact your MAC about CCA, NET, and HAE coverage. Do this before scheduling or billing for any of these three indications. Ask specifically whether an active LCD governs these indications in your jurisdiction. If no LCD exists, prior authorization won't help — the default is non-coverage. This is where your compliance officer needs to be in the loop. |
| 4 | Review your post-transplant billing workflows for follow-up care. The distinction between follow-up after a covered transplant and follow-up after a non-covered transplant matters for how you document medical necessity. Both are covered — but the justification language in the record should reflect which scenario applies. |
| 5 | Audit your immunosuppressive drug billing separately. NCD 70 points to two other manual chapters for immunosuppressive coverage. Don't assume NCD 70 governs your post-transplant drug claims. Pull Medicare Benefit Policy Manual Chapter 15, §50.5.1 and Claims Processing Manual Chapter 17, §80.3, and make sure your pharmacy billing team is working from those, not this NCD. |
| 6 | Flag hepatitis B diagnoses explicitly in documentation. Since the 1999 coverage expansion specifically extended coverage to hepatitis B-related end-stage liver disease, make sure the hepatitis B etiology is named in the medical record. "End-stage liver disease, etiology hepatitis B" is cleaner documentation than a generic ESLD diagnosis code with hepatitis B coded elsewhere. |
| 7 | Talk to your compliance officer if your case mix includes CCA, NET, or HAE. These three indications exist in a coverage gray zone that varies by MAC jurisdiction. If you have volume in any of these diagnoses, get a formal compliance review of your billing approach before the effective date of January 9, 2026 has any audit implications. |
| 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 Adult Liver Transplantation Under NCD 70
The current NCD 70 policy document does not list specific CPT, HCPCS, or ICD-10 codes. This is not unusual for an NCD of this age — codes were often managed through transmittals and claims processing instructions rather than embedded in the NCD text itself.
For liver transplantation billing, work with your MAC's claims processing transmittals and your charge master to identify the correct procedure codes. TN 2513 (Medicare Claims Processing) is referenced in the policy cross-reference section as the relevant transmittal. Pull that transmittal for code-level guidance.
Your coding team should also confirm ICD-10-CM diagnosis codes that map cleanly to each covered indication — particularly the HCC indication, where specificity of diagnosis coding directly supports the medical necessity documentation requirement.
If you need code-level guidance specific to your MAC jurisdiction, request a coverage determination or billing guidelines clarification directly from your MAC before submitting claims.
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