PolicyChanges tracks payer policy changes for medical practices and tells you what to do before they take effect.

Create a free accountPolicy Monitoring is free. No card required.
← Back to list
Indiana Medicaid (IHCP)Medicaid · Billing Codes · Reimbursement · IN · PsychiatryMedium impact

BT2026174: IHCP issues further assertive community treatment billing guidance for CCBHC providers

Effective date
Not stated in the notice
Identified
Oct 21, 2026

Summary

IHCP Bulletin BT2026174 provides additional billing and operational guidance for assertive community treatment (ACT) services delivered by certified community behavioral health clinics (CCBHCs) under Indiana's Medicaid Demonstration Program. The guidance clarifies allowable services, eligibility requirements, provider qualifications, prior authorization procedures, and specific billing code requirements, including mandatory use of the V4 modifier for ACT team services and the H0039 procedure code for services not aligning with standard CCBHC encounter codes.

Get alerts when payers change rules like this one

We check Indiana Medicaid (IHCP) and other payers every day and email you when a change matches your specialty and state.

Get Indiana Medicaid (IHCP) alertsPolicy Monitoring is free. No card required.

What to do

Action · 3 steps
01Billing team should verify current implementation of ACT billing guidance for CCBHC claims, specifically: (1) ensure all ACT services rendered by ACT team members are billed with the V4 modifier (not Q2 modifier) on the applicable claim line; (2) confirm H0039 (Assertive community treatment, face-to-face, per 15 minutes) is used only when the service does not align with existing CCBHC encounter codes and understand it does not generate prospective payment system (PPS) payment; (3) verify all CCBHC claims include the T1040 encounter code; (4) confirm prior authorization requests are submitted with medical necessity evidence when ACT-eligible individuals exhaust their level of need (LON) 4 package units; (5) do not apply HL or HE modifiers to claims for services rendered by interns or nonenrolled practitioners billed under a supervising practitioner's NPI, and verify proper documentation in patient charts.
02Reference prior bulletin BT2025136 (effective February 1, 2026) for context.
03Direct questions to CCBHCQuestions@fssa.in.gov.

Codes mentioned

H0039T1040

Original notice

BT2026174: IHCP issues further assertive community treatment billing guidance for CCBHC providers
in.gov · Always check the source before changing claims.
View original ↗

Related policy hubs

Summaries are AI-assisted. Always confirm against the original payer notice.

What is PolicyChanges

One workspace for payer rules, prior auth, coding and compliance

Medical practices use PolicyChanges to catch payer changes before they cause denials. Every change is summarized in plain English, with the codes involved, the date it takes effect and what to do.

Start freePolicy Monitoring is free. No card required.
Get alerts for changes like thisPolicy Monitoring is free. No card required.Create a free account