DENIAL CODES

Denial code N374

Remark code N374 indicates Medicare Part A benefits are depleted; a Part B Remittance Advice is now necessary for processing.

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What is Denial Code N374

Remark code N374 indicates that the patient's primary Medicare Part A insurance benefits have been fully utilized, and therefore, a Part B Remittance Advice is necessary to proceed with the claim processing.

Common Causes of RARC N374

Common causes of code N374 are instances where the patient's Medicare Part A benefits have been fully utilized for the service period in question, necessitating the submission of a Part B Remittance Advice to cover the services rendered. This typically occurs when the healthcare provider has billed for services under Medicare Part A, but the patient has already reached their benefit limit under that part for the applicable time frame, thus requiring billing under Medicare Part B for potential coverage.

Ways to Mitigate Denial Code N374

Ways to mitigate code N374 include ensuring that patient eligibility and benefits are verified in detail before services are rendered. This involves checking the patient's Medicare Part A benefits to confirm they have not been exhausted. Implementing a robust pre-authorization process can also help, where necessary documentation is collected and reviewed to ensure all services are covered under Part B if Part A is exhausted. Regular training for billing staff on the differences between Medicare Part A and Part B coverage can prevent errors. Additionally, adopting a system that automatically flags patients whose Part A benefits may be nearing exhaustion can help in preparing and submitting the correct documentation in a timely manner.

How to Address Denial Code N374

The steps to address code N374 involve a multi-faceted approach to ensure that billing and claims processing are accurately managed following the exhaustion of Primary Medicare Part A insurance. Initially, it's crucial to verify the patient's coverage details to confirm that Medicare Part A benefits have indeed been exhausted and to understand the extent of Part B coverage. This verification can be done through the Medicare Administrative Contractor (MAC) portal or by contacting Medicare directly.

Following confirmation, the next step is to obtain the Part B Remittance Advice. This document is essential as it provides details on the services covered under Part B, which can then be used to adjust the billing and claims submission process accordingly. It's important to review the Remittance Advice thoroughly to identify any services that were previously billed under Part A but are now eligible for coverage under Part B.

After reviewing the Remittance Advice, reprocess any claims that were initially submitted under Part A with the correct Part B information. This may involve adjusting the billing codes to reflect the change in coverage and ensuring that any co-payments or deductibles applicable under Part B are accurately accounted for.

In cases where services are not covered under Part B, or there are discrepancies in the coverage details, it may be necessary to communicate with the patient to discuss alternative payment options or to clarify coverage details. This communication should be handled sensitively, ensuring that the patient is fully informed of their coverage status and any potential financial responsibilities.

Finally, it's essential to update the patient's billing records to reflect the exhaustion of Part A benefits and the transition to Part B coverage. This includes updating any electronic health records (EHR) and billing systems to prevent future billing errors. Regular training for billing and coding staff on handling such transitions can also help minimize errors and ensure a smooth process for managing changes in Medicare coverage.

By following these steps, healthcare providers can effectively address code N374, ensuring that billing and claims processing are adjusted appropriately to reflect the exhaustion of Medicare Part A benefits and the transition to Part B coverage.

CARCs Associated to RARC N374

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