Remark code N387 is a notification to submit the claim to the patient's secondary insurer for possible supplemental benefits payment.
Remark code N387 indicates: Alert: Submit this claim to the patient's other insurer for potential payment of supplemental benefits. We did not forward the claim information.
Common causes of code N387 are:
1. The patient has secondary or supplemental insurance coverage that was not initially identified or reported during the billing process.
2. Incorrect or incomplete patient insurance information was provided, leading to the primary insurer identifying additional coverage that needs to be billed before they process the claim.
3. The primary insurer's records indicate that there is a coordination of benefits issue, requiring the claim to be submitted to another insurer for potential payment before they will consider the claim.
4. The claim was submitted to the primary insurer without acknowledging or indicating that there is another insurer that may cover the services, leading to a directive to bill the other insurer first.
5. Failure to update the patient's insurance information in the healthcare provider's billing system, resulting in the claim being sent to the wrong insurer or not recognizing the existence of supplemental insurance.
Ways to mitigate code N387 include implementing a comprehensive insurance verification process before the patient's appointment or service. This involves confirming the patient's primary and secondary insurance details and understanding the coordination of benefits. Training staff to accurately capture and update insurance information in the patient's file can prevent this issue. Additionally, utilizing advanced billing software that flags potential secondary insurance claims based on the patient's coverage details can help ensure that claims are submitted to the correct insurer the first time. Regular audits of billing and insurance verification processes can also identify and rectify any systemic issues leading to this code.
The steps to address code N387 involve first verifying the patient's insurance information to ensure that all active policies are accurately recorded in the patient's file. Next, contact the patient to confirm or update their secondary or supplemental insurance details. Once the correct information is obtained, prepare and submit the claim to the identified secondary insurer, including all necessary documentation and a copy of the Explanation of Benefits (EOB) received from the primary insurer. It's crucial to track the claim's submission date to follow up appropriately and ensure timely processing by the secondary insurer. If the secondary insurer also denies the claim or if there is no secondary insurance, consider appealing the decision with the primary insurer or exploring other patient assistance options. Throughout this process, maintain clear and open communication with the patient regarding the status of their claim and any potential financial responsibility they may have.
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