CARC 237CO · Contractual Obligation

This adjustment reflects a penalty required by law or regulation, separate from standard claim processing.

Common causes
A specific regulatory penalty program applies, such as certain quality-reporting penalty programs.
Suggested fix
Review the specific program or regulation that triggered the penalty and confirm compliance requirements going forward.

Related Contractual Obligation codes

Frequently asked questions

What does CARC 237 mean?

This adjustment reflects a penalty required by law or regulation, separate from standard claim processing.

How do I resolve CARC 237?

Review the specific program or regulation that triggered the penalty and confirm compliance requirements going forward.

Why does CARC 237 happen?

A specific regulatory penalty program applies, such as certain quality-reporting penalty programs.

CARC codes maintained by X12 (x12.org). Descriptions on this site are original reference interpretations. Always verify codes with authoritative sources before making billing decisions.