Credentialing Glossary

Conversion Factor

medical-coding

Definition

The dollar amount per RVU under the Medicare Physician Fee Schedule. Updated annually by CMS through the final rule, typically published in November and effective January 1. The 2026 Conversion Factor is approximately $33.40, down from 2025 levels reflecting Congressional sequestration adjustments. Commercial payers do not use this CF directly but may price as a percent of Medicare (e.g., 110% of MPFS).
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