Medicare Benefit Policy Manual (Pub. 100-02), Ch. 15 § 60.3
Incident To Physician’s Services in Clinic
60.3 - Incident To Physician’s Services in Clinic
(Rev. 1, 10-01-03)
B3-2050.3
Services and supplies incident to a physician’s service in a physician directed clinic or group association are
generally the same as those described above.
A physician directed clinic is one where:
1. A physician (or a number of physicians) is present to perform medical (rather than administrative)
services at all times the clinic is open;
2. Each patient is under the care of a clinic physician; and
3. The nonphysician services are under medical supervision.
In highly organized clinics, particularly those that are departmentalized, direct physician supervision may be
the responsibility of several physicians as opposed to an individual attending physician. In this situation,
medical management of all services provided in the clinic is assured. The physician ordering a particular
service need not be the physician who is supervising the service. Therefore, services performed by auxiliary
personnel and other aides are covered even though they are performed in another department of the clinic.
Supplies provided by the clinic during the course of treatment are also covered. When the auxiliary
personnel perform services outside the clinic premises, the services are covered only if performed under the
direct supervision of a clinic physician. If the clinic refers a patient for auxiliary services performed by
personnel who are not supervised by clinic physicians, such services are not incident to a physician’s
service.