N123Remark Code (RARC)ActiveInformational Alert
Effective 09/24/2002 · Updated 03/01/2016

N123 Remark Code: Split Service Alert Information

The N123 remark code is an alert indicating that the service billed was split, representing only a portion of the units from the originally submitted service. This means that the total units for the service have been divided into parts for processing or payment purposes, and this remark serves to inform the biller of that split without indicating a denial or adjustment.

What This Alert Tells You

The N123 alert typically accompanies claims where multiple units of a service have been split for processing. It is informational and does not correlate with any specific adjustments or denials.

Common Scenarios

1A provider submitted a claim for 10 units of a therapy service, but the remittance shows an N123 alert with payment for only 6 units.
→ In this case, the N123 alert indicates that the payer processed the claim as a split service, meaning they are acknowledging only part of the originally submitted units.
2A facility billed for an extended period of monitoring services, but the payment remittance shows an N123 alert with a reduced number of units paid.
→ The presence of the N123 alert suggests that the payer has split the service and is compensating only for a portion of the units initially billed.
3A claim for a surgical procedure was submitted with multiple units for different components, and the remittance returned with an N123 alert.
→ The N123 alert indicates that the payer has recognized the split nature of the service and is reflecting payment for only part of the total units submitted.

What to Do

  1. Do not take any action to resubmit the claim based on this alert alone, as it is informational.
  2. Review the claim to understand how units were split and whether additional documentation is necessary for future submissions.

What to Check

  • Check the original claim submission to identify how many units were billed versus what was paid.
  • Review the service documentation to ensure it supports the billed units and understand the split reasoning.
  • Examine the payer's policy regarding split services to ensure compliance with their processing rules.