DENIAL CODES

Denial code N869

Remark code N869 indicates cost sharing was based on the qualifying payment amount as per the No Surprises Act.

Accelerate your revenue cycle

Boost patient experience and your bottom line by automating patient cost estimates, payer underpayment detection, and contract optimization in one place.

Get a Demo

What is Denial Code N869

Remark code N869 indicates that the cost-sharing amount (such as deductibles, copayments, or coinsurance) was determined based on the qualifying payment amount, as required by the No Surprises Act. This act aims to protect patients from unexpected medical bills for out-of-network services in certain situations.

Common Causes of RARC N869

Common causes of code N869 are incorrect application of the No Surprises Act provisions, miscalculation of the qualifying payment amount, failure to properly identify services covered under the No Surprises Act, and errors in the cost-sharing calculation methodology.

Ways to Mitigate Denial Code N869

Ways to mitigate code N869 include implementing a robust verification system to accurately determine patient eligibility and benefits before services are rendered. This involves ensuring that all billing staff are thoroughly trained on the No Surprises Act and its implications for cost-sharing calculations. Additionally, adopting advanced billing software that automatically updates with the latest regulatory requirements can help prevent errors related to the qualifying payment amount. Regular audits of billing processes and compliance checks can also identify and rectify any issues early on, reducing the likelihood of encountering this code. Establishing clear communication channels with payers to confirm details of the qualifying payment amount prior to billing can further mitigate the risk. Lastly, educating patients about their rights and the billing process under the No Surprises Act can help manage expectations and prevent confusion that might lead to this alert being triggered.

How to Address Denial Code N869

The steps to address code N869 involve a multi-faceted approach to ensure compliance with the No Surprises Act and accurate cost-sharing calculations. Initially, it's crucial to verify the qualifying payment amount (QPA) calculations to confirm they align with the No Surprises Act requirements. This involves reviewing the methodology used for the QPA calculation, ensuring it accurately reflects the median contracted rate for similar services in the geographic area.

Next, audit the patient's bill to ensure that the cost-sharing amount (e.g., copayments, coinsurance) charged to the patient is correctly based on the QPA. If discrepancies are found, adjustments should be made to the patient's bill to reflect the correct cost-sharing amount.

Additionally, it's important to communicate clearly with the patient about the cost-sharing calculation. This includes providing a detailed explanation of how the QPA was determined and how it affects their cost-sharing responsibilities. Providing educational materials or resources about the No Surprises Act and its implications on cost-sharing can also be beneficial.

If the code was received in error, or if there is a disagreement with the QPA calculation, it may be necessary to dispute the calculation. This involves gathering and submitting evidence to support the claim that the QPA was incorrectly calculated, following the specific procedures outlined for disputes under the No Surprises Act.

Finally, to prevent future occurrences of this code, it's advisable to review and possibly update internal processes for calculating QPA and determining cost-sharing amounts. This may include training staff on the No Surprises Act requirements and ensuring that billing systems are updated to accurately calculate and apply cost-sharing based on the QPA.

By taking these steps, healthcare providers can address code N869 effectively, ensuring compliance with the No Surprises Act and promoting transparency and fairness in patient billing.

CARCs Associated to RARC N869

Improve your financial performance while providing a more transparent patient experience

Full Page Background