Last Updated on September 23, 2025
Skin tags, or acrochordons, are common benign skin growths that affect millions of patients each year. While medically harmless, they often become a billing and coding challenge. Payers require accurate diagnosis coding to distinguish between medically necessary removals, such as those causing irritation, bleeding, or infection, and cosmetic procedures that are generally not covered.
For medical billers, coders, and providers, selecting the correct ICD-10 code for skin tags is essential for reimbursement, compliance, and avoiding denials.
This guide explores the ICD-10 codes most commonly associated with skin tags, when to use each one, how they align with CPT procedure codes, and documentation best practices to ensure clean claims.
Table of contents
What Are Skin Tags?
Skin tags (acrochordons) are small, soft, benign growths of skin that typically appear on the neck, eyelids, armpits, groin, or under the breasts. They are usually painless but can cause discomfort if irritated by clothing, jewelry, or friction.
Cosmetic vs Medically Necessary:
- Cosmetic: Removal for appearance only, not covered by most payers.
- Medically necessary: Removal required due to symptoms such as bleeding, irritation, recurrent inflammation, or interference with daily activities, billable with correct coding and documentation.
Primary ICD-10 Code for Skin Tags
L91.8 – Other hypertrophic disorders of the skin
- Description: The most widely accepted ICD-10 code for skin tags.
- Usage: Used when skin tags are present and removal is medically justified.
- Billable: Yes, this is a billable code.
- Payer note: Always check payer-specific medical necessity guidelines.
The ICD-10-CM code L91.8 is the primary diagnosis code used for documenting skin tags (acrochordons). It is classified under hypertrophic disorders of the skin and is widely accepted by Medicare and commercial payers when removal is medically necessary. Skin tags are generally harmless, but when they cause irritation, bleeding, recurrent inflammation, pruritus, or obstruction of movement or vision, L91.8 supports medical necessity for removal.
Correct use of L91.8 requires careful documentation. Providers should specify the number of lesions, their location (neck, eyelid, groin, armpit, perianal), and the symptoms justifying removal. For example, documenting that “skin tags on the eyelid cause irritation and blurred vision” helps establish medical necessity. When tags are removed, coders typically pair L91.8 with CPT 11200 (up to 15 lesions) or 11201 (each additional 10 lesions).
It’s important to note that cosmetic removals billed under L91.8 will almost always be denied. Coders should only assign this code when supported by provider notes indicating functional or symptomatic concerns. For purely cosmetic procedures, payers expect the patient to be billed directly. Using L91.8 appropriately minimizes denials, supports compliance, and ensures providers are reimbursed correctly for medically necessary skin tag removals.
Additional ICD-10 Codes Related to Skin Tags
While L91.8 is the primary diagnosis code, other ICD-10 codes may apply depending on the patient’s condition, skin tag location, or associated symptoms.These variations are especially relevant in dermatology coding where documentation often must capture not just the presence of lesions but their type, location, and associated symptoms.
L98.8 – Other specified disorders of the skin and subcutaneous tissue
- Usage: Secondary option when skin lesions are present but not classified elsewhere.
- Consideration: Used sparingly; documentation must clearly support.
D23.9 – Benign neoplasm of skin, unspecified
- Usage: For benign skin growths when pathology or physician documentation specifies “neoplasm.”
- Note: Some payers may prefer this for large or atypical tags.
K64.4 – Residual hemorrhoidal skin tags
- Usage: Specifically for perianal/hemorrhoidal skin tags.
- Importance: Avoids miscoding general L91.8 when skin tags are hemorrhoidal in nature.
H02.9 – Unspecified disorder of eyelid
- Usage: Sometimes applied when skin tags are on the eyelid.
- Compliance note: Check payer policy; some require documentation of irritation or interference with vision.
Location-Specific Considerations
Skin tags can appear in different body areas, and location often determines coding specificity:
- Neck/Armpits/Groin – L91.8 (default unless otherwise specified)
- Eyelid – H02.9 or L91.8 (with documentation supporting functional issue)
- Perianal/hemorrhoidal region – K64.4
- Other skin sites – D23.9 or L98.8 (when documented as neoplasm or unspecified disorder)
CPT Codes for Skin Tag Removal
Diagnosis coding must be paired correctly with procedure codes when removal is performed. The most common CPT codes for skin tag removal include:
- 11200 – Removal of skin tags, up to and including 15 lesions.
- 11201 – Each additional 10 lesions (used in conjunction with 11200).
Coding tip: Documentation must include:
- Number of tags removed.
- Method of removal (snip excision, cryotherapy, cautery, etc.).
- Medical necessity (e.g., irritation, bleeding, recurrent infection).
Documentation Best Practices
To avoid denials, providers should document the following details:
- Medical necessity: Indicate irritation, bleeding, infection, or obstruction.
- Location: Specify where on the body the skin tags are located.
- Quantity: Document the number of lesions removed.
- Method: Record how they were removed.
- Patient symptoms: Note discomfort, interference with daily activities, or repeated infections.
Common Coding Errors with Skin Tags
- Using L91.8 for purely cosmetic removals – Results in denials since cosmetic procedures are not covered.
- Failing to pair ICD-10 with CPT – Billing removal without matching diagnosis code leads to claim rejections.
- Omitting documentation of medical necessity – Even the correct ICD-10 code won’t be reimbursed if symptoms aren’t supported in notes.
- Confusing hemorrhoidal skin tags with general skin tags – K64.4 must be used for perianal tags.
Accurate coding for skin tags requires more than just entering L91.8. Payers look for specific diagnosis codes tied to the location, supporting documentation that proves medical necessity, and correct CPT code pairing for removal.
By following best practices, coders and providers can prevent denials, ensure compliance, and capture rightful reimbursement for medically necessary procedures.
FAQs on ICD-10 Codes for Skin Tags
Are skin tags always billable under insurance?
No. Skin tag removal is typically covered only when medically necessary (e.g., irritation, bleeding, infection). Cosmetic removals are usually not billable.
Which ICD-10 code is most common for skin tags?
L91.8 is the standard, widely used code. Other codes apply only when location or pathology requires specificity.
How do you code removal of multiple skin tags?
Use 11200 (up to 15 lesions) and 11201 for each additional 10. Always pair with the correct ICD-10 code and document number removed.
What if the claim for skin tag removal is denied?
Check if the claim lacked medical necessity documentation, used the wrong POS (place of service), or billed cosmetic removal as medically necessary. Correcting documentation and resubmitting with proper ICD-10 can resolve.
Get Expert Support in Dermatology Coding
Accurate ICD 10 coding for skin tags is more than a compliance requirement, it directly impacts reimbursement, claim approvals, and patient satisfaction. With payer rules changing frequently, your dermatology practice needs a billing partner who understands the nuances of medical necessity, documentation, and clean claim submission.