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Code CO-223

Pat Posted Thu 02nd of May, 2013 13:30:59 PM

Please explain medicare remittance code 'CO-223' on my April 2013 claims.

SuperCoder Answered Fri 03rd of May, 2013 12:25:49 PM

Here is a link I found regarding this topic.

Sequestration Q & A's

Question: How is the 2% payment reduction under sequestration identified on the electronic remittance advice (ERA) and the standard paper remittance (SPR)?

Answer: Claim adjustment reason code (CARC) 223 is used to report the sequestration reduction on the ERA and SPR.

Question: What is the verbiage for CARC 223?

Answer: "Adjustment code for mandated Federal, State or local law/regulation that is not already covered by another code and is mandated before a new code can be created."

Question: Will the 2% reduction be reported on the remittance advice in a separate field?

Answer: For institutional Part A claims, the adjustment is reported on the remittance advice at the claim level. For Part B physician/practitioner, supplier, and institutional provider outpatient claims, the adjustment is reported at the line level.


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