Remark code N842 is an alert indicating that the patient should not be billed for specific charges.
Remark code N842 indicates: Alert: Patient cannot be billed for charges.
Common causes of code N842 (Alert: Patient cannot be billed for charges) are incorrect patient demographic information, insurance coverage errors, services not covered under the patient's current insurance plan, billing for excluded services as per the payer contract, and prior authorization requirements not being met.
Ways to mitigate code N842 include implementing a robust verification process for patient insurance eligibility before services are rendered. This involves confirming the patient's coverage details, including any exclusions or limitations, directly with the insurance provider. Additionally, ensuring that all documentation and coding are accurate and complete at the time of service can help avoid this issue. Regular training for staff on the latest billing practices and compliance requirements is also essential to prevent errors that could lead to this code being applied. Finally, establishing a clear communication channel with insurance companies can facilitate the resolution of any disputes or clarifications regarding coverage, thereby minimizing the risk of patients being incorrectly billed.
The steps to address code N842 involve a multi-faceted approach focusing on internal review and patient communication. Initially, ensure that the billing team conducts a thorough audit of the patient's account and the services provided to verify the accuracy of the coding and billing process. If discrepancies are found, correct them promptly and resubmit the claim if necessary.
Next, engage with the insurance provider to clarify the reasons behind the application of code N842, seeking detailed explanations and any possible solutions or actions required to rectify the situation. This may involve submitting additional documentation or information to support the claim.
Simultaneously, maintain open and transparent communication with the patient regarding the status of their bill, emphasizing that they are not currently responsible for the charges due to the specific code application. Provide them with updates as you work through the issue with the insurance company, ensuring they are informed of any changes or actions they may need to take.
Additionally, review your internal processes for insurance verification and authorization to prevent similar issues in the future. This may involve training staff on updated procedures or implementing new checks and balances to catch potential billing issues before claims are submitted.
Finally, document all steps taken to resolve the issue associated with code N842, including communications with the insurance company and the patient. This documentation can be invaluable for future reference and for identifying patterns that could indicate systemic issues needing attention within your billing process.
Get paid in full by bringing clarity to your revenue cycle
Subscribe to the
Healthcare Clarified newsletter
Get the latest insights on RCM and healthcare policy in your inbox
