M36Remark Code (RARC)Active
Effective 01/01/1997

M36 Remark Code - Rental Month Payment Hold

The M36 remark code indicates that the claim is for the 11th month of a rental period, and payment cannot be processed until confirmation is provided that the patient has been offered the option to convert the rental to a purchase. This remark supplements the existing adjustment indicated by the accompanying reason code, clarifying the reason for the hold on payment.

How It Relates to the Denial

The M36 remark code typically accompanies adjustment reason codes related to rental equipment claims. This combination signals that the claim is in a specific rental period and requires additional patient option documentation before proceeding with payment.

Common Scenarios

1A patient has been receiving a rented medical device for 11 months, and the provider submitted a claim for that month’s rental fee.
→ The M36 remark code indicates that payment is on hold until the provider confirms that the patient was given the option to purchase the device.
2A claim for a rental wheelchair was filed for the 11th month, and the remittance shows a denial with an accompanying adjustment reason code.
→ The M36 remark code suggests that the payer needs documentation proving the patient was informed about the purchase option before any payment can be made.
3A provider submitted a claim for a rented oxygen concentrator for the 11th month, but the payment was denied with a note stating M36.
→ The M36 remark code means the claim is pending because the provider must indicate whether the patient was offered a purchase option for the concentrator.

What to Do

  1. Confirm that the patient was informed about the option to purchase the rental equipment.
  2. Document the patient's response regarding the purchase option and include it with the resubmission.
  3. Resubmit the claim with the necessary documentation to the payer.

What to Check

  • The patient's rental agreement to verify the rental duration and terms.
  • Documentation of the conversation regarding the purchase option with the patient.
  • The claim submission details to ensure all required information was included.