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Update on Coverage of Psychoeducation Services (H2027)
Act
by Jul 15, 2026
Effective date
Jul 15, 2026
Identified
Jun 20, 2026
Summary
Kentucky Medicaid will no longer reimburse standalone psychoeducation services (H2027) effective July 15, 2026. Psychoeducation can still be provided as part of other behavioral health services like IOP and PHP, but cannot be billed separately.
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What to do
by Jul 15, 2026 · 4 steps
01Billing team must stop billing H2027 (psychoeducation) as a standalone code for Kentucky Medicaid patients.
02Update billing system to block H2027 submissions for dates of service on or after July 15, 2026.
03Ensure psychoeducation services are only billed as part of IOP or PHP programs when clinically appropriate.
04Remove H2027 from encounter forms for Kentucky Medicaid behavioral health visits.
Codes mentioned
H2027
Original notice
Update on Coverage of Psychoeducation Services (H2027)
chfs.ky.gov · Always check the source before changing claims.
Related changes
See all Kentucky Medicaid changes →Psychoeducation Policy Update H2027 H0038HighEffective Jan 1, 2025 · Provider LetterBehavioral Health Prior Authorization ResumptionMediumEffective May 1, 2025 · Prior AuthorizationBehavioral Health Prior AuthorizationHighEffective Jun 25, 2025 · Prior AuthorizationCoverage of Psychoeducation Services (H2027)HighEffective Apr 10, 2026 · CoverageBrowse every Kentucky Medicaid change in the policy list