CARC 271CO · Contractual Obligation
This reflects a previously agreed contractual reduction being applied as part of a scheduled periodic payment arrangement.
- Common causes
- Structured payment arrangements between provider and payer defer certain contractual adjustments to be applied across periodic payments.
- Suggested fix
- Reconcile against the payment schedule agreement; no action is typically needed if the amount matches the agreed schedule.
Related Contractual Obligation codes
107This claim depends on another related claim or service being referenced, but that link wasn't provided.11The diagnosis code doesn't support medical necessity for the procedure billed, based on the payer's coverage edits.13The claim shows a date of service after the patient's recorded date of death.146The diagnosis code billed wasn't a valid, active code as of the date of service.150The documentation submitted doesn't justify the complexity or level of the service billed, commonly seen with evaluation and management visit levels.16The claim is missing required information or contains a billing error that prevented the payer from processing it.170This payer doesn't reimburse this specific provider type for this service.171This payer doesn't cover this service when it's billed by this provider type in this particular facility setting.
Frequently asked questions
What does CARC 271 mean?
This reflects a previously agreed contractual reduction being applied as part of a scheduled periodic payment arrangement.
How do I resolve CARC 271?
Reconcile against the payment schedule agreement; no action is typically needed if the amount matches the agreed schedule.
Why does CARC 271 happen?
Structured payment arrangements between provider and payer defer certain contractual adjustments to be applied across periodic payments.
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.