DENIAL CODES

Denial code M138

Remark code M138 indicates services were rendered to a non-enrolled patient in a demo, limiting coverage to actual participants.

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What is Denial Code M138

Remark code M138 indicates that the claim has been flagged because the patient was identified as a participant in a specific demonstration program, but records show that the patient was not actually enrolled in the demonstration at the time the healthcare services were provided. As a result, coverage for these services is restricted to those who were valid participants in the demonstration at the time of service. This may affect the adjudication of the claim and could lead to a denial of payment if the enrollment status is not resolved or clarified.

Common Causes of RARC M138

Common causes of code M138 are:

1. Administrative errors where a patient's enrollment status in a demonstration project was not updated or verified accurately at the time of service.

2. Miscommunication between the healthcare provider and the demonstration program administrators, leading to incorrect assumptions about a patient's participation.

3. A lapse in the patient's enrollment in the demonstration program that went unnoticed, either due to the patient's action or an oversight by the program coordinators.

4. Timing discrepancies where services were rendered either before the patient's official enrollment date or after their participation had ended.

5. Inaccurate or outdated patient information within the healthcare provider's billing system, which may not reflect the current status of the patient's demonstration program participation.

6. Failure to obtain the necessary pre-authorization or notification that is required for demonstration participants before services are provided.

Ways to Mitigate Denial Code M138

Ways to mitigate code M138 include implementing a thorough verification process for patient enrollment in demonstration projects before services are rendered. This can be achieved by:

  1. Establishing a protocol for checking the patient's demonstration program status as part of the initial patient registration and eligibility verification process.
  2. Training front desk and billing staff to recognize demonstration project participants and understand the specific requirements for billing related to these programs.
  3. Creating a real-time alert system within the electronic health record (EHR) or practice management software that flags when a patient is identified as a potential demonstration participant.
  4. Regularly updating the list of active demonstration projects and enrolled participants to ensure accurate and current information is used during the billing process.
  5. Collaborating with the demonstration program administrators to receive timely updates on participant enrollment status changes.
  6. Conducting periodic audits of demonstration participant claims to identify and rectify any discrepancies in enrollment status promptly.

How to Address Denial Code M138

The steps to address code M138 involve verifying the patient's enrollment status in the demonstration project for the date of service. First, review the patient's records and confirm the dates of their participation in the demonstration. If the patient was indeed enrolled during the time services were rendered, gather the necessary documentation that proves their enrollment and resubmit the claim with this evidence attached.

If the patient was not enrolled in the demonstration at the time of service, adjust the claim to reflect the appropriate payer or coverage and resubmit. It may also be necessary to contact the patient to discuss alternative payment options or to obtain information about other insurance coverage they may have had at the time of service. Ensure that all billing information is updated accordingly before resubmission to prevent further denials.

CARCs Associated to RARC M138

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