Costs & IRMAA
Medicare Releases October 2026 Quarterly Update to Its Lab Test Payment Schedule
New and revised HCPCS codes for clinical laboratory services take effect in October 2026, keeping Medicare's fee schedule current with changes in diagnostic testing.
By the Goodsurance editorial teamAugust 27, 2026
The Centers for Medicare and Medicaid Services released the October 2026 quarterly update to the Clinical Laboratory Fee Schedule and associated Clinical Laboratory Improvement Amendments HCPCS codes, as noted in the August 27, 2026 MLN Connects newsletter. The update adds new billing codes for laboratory tests and removes codes no longer in use, with an effective date in October 2026.
Medicare publishes four quarterly updates to the Clinical Laboratory Fee Schedule each year, in January, April, July, and October, to keep payment codes aligned with changes in diagnostic test technology and coding standards. New codes added in a quarterly update are initially priced by individual Medicare Administrative Contractors until they complete the formal annual payment determination process, which establishes nationally standardized rates.
The October 2026 Medicare lab payment update is out, adding new billing codes and removing outdated ones effective this fall.
Services covered under the fee schedule include blood chemistry panels, complete blood counts, urinalysis, tissue pathology, microbiology tests, and other diagnostics. Most covered laboratory services ordered by a treating provider carry no beneficiary copayment under Original Medicare.
Correct coding is essential for laboratory claims to process without error. Laboratories, billing offices, and ordering providers should verify that their systems reflect the updated HCPCS code set before submitting October claims.
In plain words
Medicare pays for many lab tests, like blood work your doctor orders. Four times a year, Medicare updates its list of tests and the prices it pays. This week it released the October 2026 update. It adds new types of tests and removes ones no longer in use. For most Medicare patients, covered lab tests have no out-of-pocket cost. This update helps labs get paid correctly for newer tests.
Understand the basics first
Source: CMS MLN Connects
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