CPT 27447 Surgery - Musculoskeletal

How Much Does Total Knee Replacement Surgery Cost?

Also known as: Total knee arthroplasty (CPT 27447)

Total knee replacement surgery, replacing the entire knee joint with artificial components.

The total estimated cost of Total Knee Replacement Surgery (CPT 27447) is $15,119 to $41,997, including hospital fees, anesthesia, and supplies. The surgeon's Medicare fee alone is $1,159. Average Medicare total payment: $16,799.

Total Estimated Cost of Care

$15,119 — $41,997

This estimate includes hospital facility fees, anesthesia, implants, and supplies for an inpatient hospital stay. Based on CMS data for MAJOR HIP AND KNEE JOINT REPLACEMENT OR REATTACHMENT OF LOWER EXTREMITY WITHOUT MCC (DRG 470), the average Medicare total payment is $16,799.

Surgeon/Physician Fee
$1,159
Hospital Facility Fee
$15,640
Anesthesia (est.)
$232
Implant/Device (est.)
$4,200
Important: The physician fee of $1,159 shown in the cost cards below is what Medicare pays the surgeon/doctor only. The hospital charges a separate facility fee that typically makes up 70-85% of the total cost. View DRG 470 hospital costs.
Medicare Physician Fee (Facility Setting)
$1,159
Physician component only — CMS PFS 2026

Patient Guide: Total Knee Replacement Surgery

What you need to know before your appointment

What to Expect

Under anesthesia, the surgeon removes the damaged surfaces of your knee joint and replaces them with metal and plastic components. Hospital stay is typically 1-3 days. Physical therapy begins the day of or after surgery.

How Long Does It Take?

1-2 hours of surgery

Common Reasons Doctors Order This

Severe knee arthritis, bone-on-bone knee, knee pain limiting daily activities, failed conservative treatments

How to Prepare

Stop blood thinners as directed. Fast after midnight. Prepare your home (remove trip hazards, install grab bars). Arrange 2-4 weeks of help. Pre-operative exercises improve recovery.

Procedures Commonly Done Together

These procedures are frequently performed alongside Total knee arthroplasty

Loading related procedures...

What Insurance Companies Actually Pay

Real negotiated rates from 16 hospitals across 6 states (from hospital price transparency filings)

Lowest
$1
Highest
$60,464
Average
$15,795
Insurance Company Avg Rate Range Hospitals
Aetna $6,366 $2,408 - $19,886 10
United $16,933 $4,969 - $30,000 10
Cigna $15,582 $2,496 - $60,464 8
Humana $13,319 $2,204 - $31,243 8
BCBS $33,193 $12,888 - $46,413 5
Superior Health Plan $2,097 $948 - $19,331 4
KAISER FOUNDATION HEALTH PLAN, INC. $26,858 $15,548 - $48,690 5
BCBS-TX $16,299 $8,926 - $22,849 3
Kaiser $24,866 $21,585 - $31,174 2
Anthem $37,427 $18,929 - $44,089 2
BCBS - TN $595 $167 - $2,207 2
Multiplan $21,105 $21,105 2
Average by State
TN: $7,533 (18) GA: $10,577 (19) KY: $13,999 (7) TX: $14,261 (166) CO: $22,507 (52) CA: $26,858 (15)
Disclaimer: These rates are from hospital Machine-Readable Files (MRFs) required by federal price transparency law. They reflect specific hospital-payer contracts and may not represent your actual cost, which depends on your plan, deductible, and network status. Data sourced from CommonSpirit Health, HCA Healthcare, and Kaiser Permanente filings.

How to Reduce Your Cost for Total knee arthroplasty

Practical tips that can save you hundreds or thousands of dollars

  • 1
    Ask about cash-pay discounts

    Many hospitals and clinics offer 20-40% discounts for self-pay patients. Always ask before scheduling.

  • 2
    Compare facility vs. office setting costs

    Some procedures cost significantly less in an office setting than a hospital. Ask your provider about options.

  • 3
    Shop around — costs vary significantly

    Costs can vary 2-3x between providers in the same city. Get quotes from multiple facilities.

How is the Price Calculated?

Medicare calculates procedure payments using Relative Value Units (RVUs). Each procedure has three components multiplied by a conversion factor ($33.40 in 2026) and adjusted by geographic cost indices.

19.11
Work RVU
11.58
Practice Expense RVU
4.02
Malpractice RVU
34.71
Total RVU

Payment = Total RVU (34.71) x CF ($33.40) = $1,159

Consider These Alternatives

Depending on your clinical situation, these alternatives may be appropriate and could save you money.

Note: Alternative procedures may not be clinically appropriate for all patients. Always consult your physician to determine the best option for your specific situation.

Frequently Asked Questions

How much does Total knee arthroplasty cost?

The Medicare facility rate for Total knee arthroplasty is $1,159. Commercial insurance rates typically range from 150% to 250% of Medicare (varies by plan).

How much does Total knee arthroplasty cost without insurance?

Without insurance, the cost of Total knee arthroplasty can range from 150% of Medicare to 500% of Medicare depending on the facility. Many hospitals and clinics offer self-pay discounts of 20-40% off their chargemaster price. Always ask about cash pricing before your visit.

Does insurance cover Total knee arthroplasty?

Most commercial health insurance plans and Medicare cover Total knee arthroplasty when ordered by a physician for a medically necessary reason. Your out-of-pocket cost depends on your plan's deductible, copay/coinsurance structure, and whether you use an in-network provider. Check with your insurance company before scheduling to confirm coverage and get a cost estimate.

Why does the cost vary so much by location?

Medicare adjusts payments using Geographic Practice Cost Indices (GPCIs) that reflect local differences in physician work costs, practice expenses, and malpractice insurance. Manhattan, San Francisco, and other high-cost areas pay significantly more than rural regions. Commercial insurers follow similar geographic patterns.

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