N871Remark Code (RARC)ActiveInformational Alert
N871 Remark Code - Payment Based on No Surprises Act
The N871 remark code indicates that the initial payment for a claim was calculated based on a specific state law, as mandated by the No Surprises Act. This alert serves to inform providers about the legal basis for the payment amount, ensuring transparency in how the payment was determined.
What This Alert Tells You
As an informational alert, the N871 remark code is not associated with any adjustments or claim denials. It appears on remittance advice to clarify that the payment has been calculated in compliance with legal requirements, rather than reflecting any issues with the claim itself.
Common Scenarios
1A provider submits a claim for emergency services, and the remittance advice includes the N871 remark code.
→ In this case, the N871 code is indicating that the payment amount is in line with state law due to the No Surprises Act, ensuring that the provider is aware of the legal framework governing the payment.
2A facility bills for out-of-network services, and the payment remittance shows the N871 remark code.
→ Here, the N871 code informs the facility that their payment was calculated according to state law provisions designed to protect patients from unexpected medical bills, rather than indicating any billing error.
3A claim for a procedure performed in a non-participating facility is processed with the N871 remark code on the remittance advice.
→ The presence of the N871 code suggests that the payment reflects compliance with the No Surprises Act, clarifying that the payment was determined legally rather than through standard contractual arrangements.
What to Do
- Do not take any action based on this alert; it is informational only.
- Expect that the payment reflects compliance with state law as per the No Surprises Act.
What to Check
- Review the state law referenced in the payment calculation for clarity on how it affects your billing practices.
- Check the No Surprises Act provisions to understand its implications for your claims and payments.
- Verify the details of the claim to ensure the payment aligns with the initial services rendered.