246Denial Code (CARC)Active
Effective 09/30/2012

CARC 246 Denial Code - Reporting Only: No Action Needed

Code 246 indicates that the payer has reported a non-payable code solely for reporting purposes. This code does not affect the payment or balance, as it is informational only.

Who Pays: Group Code Liability

Code 246 does not impact patient billing or provider write-offs. It is not associated with any group code liability, as it is purely for reporting.

Why Claims Get Code 246

  • The claim included a service that requires reporting for data collection but is not payable.
  • The payer uses code 246 to track specific service usage without affecting reimbursement.
  • Reporting requirements mandated by regulations or contracts triggered code 246.
  • The service was submitted correctly but is part of a non-payable reporting category.

How to Fix & Resubmit

  1. Verify that the service tied to code 246 is non-payable and correctly reported.
  2. Check if the payer's reporting requirements align with the use of code 246.
  3. Ensure no additional actions are needed, as this code is informational only.
  4. Confirm with the payer if uncertain about the reporting requirement.

Corrected Claim or Appeal?

For code 246, neither a corrected claim nor an appeal is necessary, as it is informational and does not affect payment.

Preventing Future 246 Denials

  • Familiarize billing staff with services that trigger reporting-only codes like 246.
  • Review payer contracts for non-payable reporting requirements.
  • Ensure accurate coding to prevent unnecessary confusion with non-payable codes.
  • Maintain clear communication with payers about their reporting needs.