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Excimer Laser Reimbursement Expansion: 30 New Indications Coming for Dermatology

The American Medical Association revised CPT codes in May 2025 to enable reimbursement for XTRAC excimer laser treatments across 30 dermatologic indications beyond psoriasis. This could triple the addressable market to 30 million patients and represents a significant new revenue opportunity for dermatology practices.

What’s Expanding

Excimer laser reimbursement is expanding from psoriasis-only to cover multiple inflammatory and autoimmune skin conditions:

  • Vitiligo
  • Atopic dermatitis
  • Mycosis fungoides
  • Lichen planus
  • Alopecia areata
  • Cutaneous T-cell lymphoma (CTCL)
  • And approximately 24 additional indications

Timeline

MilestoneDateStatus
AMA CPT code revisionMay 2025Complete
Temporary G codes applicationUnder reviewCMS decision expected Nov 2025
G codes effective (if approved)January 2026Pending
Full CPT codes effectiveJanuary 2027Confirmed

Reimbursement May Also Increase

Separately, STRATA Skin Sciences (the XTRAC manufacturer) has submitted data to CMS supporting a reimbursement increase from $160 to potentially $230 per procedure. If approved, this combines higher volume (30 indications) with higher per-procedure revenue.

Revenue Opportunity

If your practice already has an excimer laser, you could see significantly higher utilization and reimbursement starting as early as January 2026. If you don’t have one, now is the time to evaluate the business case.

What to Do Now

  1. If you have an excimer laser — prepare documentation templates for the expanded indications
  2. If you don’t — run a utilization analysis to assess whether the expanded indications justify the investment
  3. Monitor CMS for the November 2025 decision on temporary G codes
  4. Update your patient screening to identify candidates for excimer treatment across all 30 indications

Key Takeaways

  • Excimer laser reimbursement expanding from psoriasis to 30 dermatologic indications
  • Full CPT codes effective January 2027; G codes possibly as early as January 2026
  • Reimbursement may increase from $160 to $230 per procedure
  • Addressable market triples to 30 million patients
  • Evaluate your excimer laser strategy now
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Master Billing Team
Dermatology RCM Specialists
Expert insights from our AAPC-certified coders and revenue cycle specialists focused exclusively on dermatology.