Does Medicare Cover Lipoma Removal?

Q: Does Medicare usually pay for lipoma removal?

Medicare generally will not cover removal of benign lipomas unless a physician documents that the procedure is medically necessary (for example, due to infection, obstruction, vision impairment, or repeated trauma to the area).

Q: Which part of Medicare covers lipoma excision when approved?

When lipoma removal is deemed medically necessary, it is typically covered under Medicare Part B. That means you must meet the Part B deductible and are generally responsible for 20% coinsurance of the Medicare-approved amount.

Q: What criteria make lipoma removal medically necessary?

Common criteria include change in appearance, infection or inflammation, obstruction of an orifice, impairment of vision, or placement in an area prone to repeated injury. Medicare coverage decisions rely on physician documentation and specific clinical circumstances.

Q: How much will I pay out of pocket for lipoma removal under Medicare?

Out-of-pocket costs depend on meeting the annual Part B deductible and the 20% coinsurance. Exact amounts vary by procedure location (ambulatory surgical center vs. hospital outpatient) and lesion size; ambulatory centers typically cost less.

Q: Will Medicare pay if I want a lipoma removed for cosmetic reasons?

No. Medicare does not cover procedures performed solely for cosmetic reasons. If removal is elective and not medically necessary, you would be responsible for the full cost.

Published by

Lyly

on

December 2, 2025

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Table of Contents

Key takeaways

Typically, Medicare will not pay for lipoma removal unless a physician determines it is medically necessary.
Removal may be considered medically necessary if the lipoma causes significant problems, such as infection, blockage of an opening, interference with vision, or if it sits in an area exposed to repeated injury.
Lipoma excision is most often done on an outpatient basis. When deemed medically necessary, it is covered under Medicare Part B, meaning you must satisfy the annual deductible and then are responsible for 20% of the procedure cost.

Generally, Medicare does not cover the excision of benign skin growths like lipomas. That said, if your physician decides removal is medically required, Medicare will provide coverage for the operation.

The image presents a close-up view of a human arm and hand against a stark white background with a prominent, rounded lump or growth located on the outer side of the forearm, likely a lipoma. — (*img by The Plastic Surgery Center*)

Criteria for lipoma removal under Medicare

There are several situations in which Medicare would deem lipoma removal medically appropriate. These include:

The lipoma has altered in appearance, become infected, or is inflamed.
The lipoma obstructs an orifice, for example the mouth.
The lipoma impairs your vision.
The lipoma is located in a spot likely to suffer repeated trauma.

Cost of lipoma removal under Medicare

When lipoma removal is performed, it is usually conducted in an outpatient setting and covered under Medicare Part B. For 2025, Part B carries an annual deductible of $257. After meeting that deductible, you are liable for 20% of the procedure’s cost.

The precise cost depends on factors such as the lipoma’s location, its size, and where the procedure takes place (for instance, an ambulatory surgical center versus a hospital outpatient department). Typically, having a lipoma removed in an ambulatory surgical center will cost you less out of pocket.

The table below illustrates how costs differ for the excision (cutting out) of similarly sized benign lesions across three body regions. Other surgical approaches may include shaving and destruction. The figures reflect average out-of-pocket payments by Medicare enrollees:

Procedure	Size of lesion	Average payment at ambulatory surgical center	Average payment at hospital outpatient department
removal of benign lesion on the trunk, arms, or legs	1.1 to 2.0 centimeters (cm)	$45	$156
removal of benign lesion on the scalp, neck, hands, feet, genitalia	1.1 to 2.0 cm	$49	$334
removal of benign lesion on the face, ears, eyelids, nose, lips, mucous membrane	1.1 to 2.0 cm	$54	$163

Why wouldn’t Medicare cover lipoma removal?

If removal of a lipoma is not judged medically necessary, Medicare will not pay for it. Medicare generally only covers cosmetic procedures in situations related to accidental injury or when surgery is needed to correct a functional impairment. It also covers breast reconstruction after a mastectomy.

If you choose to have a lipoma removed for cosmetic reasons without Medicare authorization, you will be responsible for the entire expense.

Frequently Asked Questions

Does Medicare usually pay for lipoma removal?

Which part of Medicare covers lipoma excision when approved?

What criteria make lipoma removal medically necessary?

How much will I pay out of pocket for lipoma removal under Medicare?

Will Medicare pay if I want a lipoma removed for cosmetic reasons?

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Disclaimer: This article is for informational purposes only and is not intended as medical advice. Please consult a healthcare professional for any health concerns.