Medical coding is an integral part of medical billing and communications among healthcare providers and insurers. Learn the basics of what it means and how these codes are used. What Is Medical Coding? Medical coding is a system of number and letter labels that are unique for each diagnosis, symptom or symptom set, and cause of death in human beings. Additionally, codes are used for standard communication of supplies and procedures used in the treatment of human conditions. Accurate medical coding is important for billing and in tracking statistics for disease and medical treatment. Medical coding is a major factor in obtaining insurance reimbursement as well as maintaining patient records. Coding claims accurately lets the insurance payer know the illness or injury of the patient and the method of treatment. Medical coding can involve one or more of the following types of codes: ICD codes, CPT codes, HCPCS codes, DRG codes, and modifiers. All of these coding s