Which statement about HCPCS is true?

• A. HCPCS includes CPT Level I and Level II codes for products and supplies.
• B. HCPCS only includes CPT Level I codes.
• C. HCPCS codes replace CPT codes.
• D. HCPCS is only for inpatient hospital claims.

Answer: (A)

HCPCS is organized into two levels. Level I comprises the CPT codes, which cover many physician procedures and services. Level II codes expand the system to include products, supplies, and certain services that aren’t in CPT. Together, these two levels form HCPCS, used to bill a wide range of items and services beyond what CPT alone covers. The statement is correct because HCPCS indeed includes both CPT codes (Level I) and the Level II codes for products and supplies.

Other options don’t fit because CPT codes alone aren’t all of HCPCS, HCPCS doesn’t replace CPT codes, and HCPCS is used for more than inpatient hospital claims—it's used in outpatient and professional billing as well.