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RARC N788 · Remittance Advice Remark Code

RARC N788 Remark Code: Alert: Patient was transferred. Medicare Advantage plan (Part C) or Private Fee…

Reviewed by QuickIntell RCM Editorial Team · Last reviewed

Updated

Not an ICD-10 code. RARC N788 is a remittance-advice remark code published by X12 and carried on the 835 LQ segment. Any ICD-10 code with the same letters and digits (e.g., ICD-10 M15 osteoarthritis, N130 other urinary tract disorders) is a separate, unrelated code set used in diagnoses on the 837. Confirm the context before acting on this page.

TL;DR

RARC N788 (X12 Alert: Patient was transferred. Medicare Advantage plan (Part C) or Private Fee-For-Service is the…). Commonly paired with CARC 22, CARC 109. RARC N788 indicates MA/PFFS plan is primary after transfer.

Official X12 description

Alert: Patient was transferred. Medicare Advantage plan (Part C) or Private Fee-For-Service is the primary payer.

Source: X12 Remittance Advice Remark Codes. X12 publishes and maintains the RARC set; always verify against the current release before building a claim workflow.

Paired CARC codes

RARC N788 almost never appears alone — it accompanies one of the CARCs below on the same 835 remittance line. Fix the CARC and the RARC typically clears; the RARC alone is informational.

Paired CARCWhat the CARC means
CARC 22This care may be covered by another payer per coordination of benefits.
CARC 109Claim/service not covered by this payer/contractor. You must send the claim/service to the correct payer/contractor.

What RARC N788 actually means

RARC N788 indicates MA/PFFS plan is primary after transfer. Route to Part C/PFFS payer.

Common root causes

  • Patient transferred; MA primary responsibility.

Prevention checklist

  • MA enrollment check at registration.

Resolution & appeal strategy — step by step

Because RARC N788 is supplemental to a CARC, the resolution path usually starts by fixing the underlying adjustment reason. A formal appeal of the RARC alone is rarely necessary.

  1. 1Rebill to MA plan.
Sample reconsideration language referencing RARC N788
[Provider letterhead] Re: Reconsideration — Claim #{claim_number}, CARC 22 / RARC N788 Member: {member_name} · Member ID: {member_id} Date(s) of Service: {dos} The 835 remittance on {remittance_date} carried RARC N788: "Alert: Patient was transferred. Medicare Advantage plan (Part C) or Private Fee-For-Service is the primary payer." We request reconsideration. The attached documentation rebuts the remark code: 1. [State the fact that rebuts the remark — authorization number, primary 835, modifier rationale, LCD citation, etc.] 2. [Reference the paired CARC and the corresponding fix] 3. [Attach the supporting document listed in step 1] Attached: {list supporting documents} Please process this line under the member's benefits. Contact the billing office at {provider_phone} for questions. Sincerely, {billing_manager_name}, {credentials}

Edit the bracketed fields before sending. Payer-specific reconsideration forms are often required — check the provider portal first.

How common is RARC N788?

Platform frequency
Pending ETL

Platform frequency ranks publish once the anonymized denial-rate pipeline reaches the publication threshold (strategy §12 Phase 2).

How QuickRCM handles RARC N788

QuickRCM reads RARC N788 alongside its paired CARC in the 835 LQ segment and routes the line to the correct worker queue with the right documentation already attached:

  • Denial routing rules tuned to the CARC+RARC pair — the paired combination tells QuickRCM which documentation the payer will accept.
  • Reconsideration template for this exact remark code pulls the supporting facts from the claim automatically.
  • Pre-submission scrubs that catch the preventable drivers surfaced on this page before the 837 leaves the clearinghouse.

Frequently asked questions — RARC N788

What does RARC N788 mean?

RARC N788 is an X12 Remittance Advice Remark Code. The official X12 definition is: "Alert: Patient was transferred. Medicare Advantage plan (Part C) or Private Fee-For-Service is the primary payer." It is supplemental to a Claim Adjustment Reason Code (CARC) on the same 835 line.

Which CARC is paired with RARC N788?

RARC N788 is most commonly paired with CARC 22, CARC 109. The CARC is the financial adjustment reason; the RARC is the informational remark. Fix the paired CARC first — the RARC usually clears with the corrected claim.

How do I resolve a RARC N788 remark on a remit?

Start from the root cause: Patient transferred; MA primary responsibility. First step: Rebill to MA plan. Because RARCs are supplemental, the resolution is almost always to address the paired CARC rather than appeal the RARC alone.

Where does RARC N788 appear on the 835 ERA?

RARC N788 is carried on the 835 Loop 2110 LQ segment alongside the CARC in the CAS segment of the same service line. The code and its X12 description also print on the paper EOB in the "Remark Code" or "Remark" column next to the corresponding denial or adjustment reason.

Is RARC N788 the same as ICD-10 code N788?

No. RARC N788 is a remittance-advice remark code published by X12 and carried on the 835. Any ICD-10 code with the same letters and digits is a diagnosis code on the 837 HI segment — a completely different code set maintained by the WHO/CMS. Use the transaction context (835 = RARC; 837 = ICD-10) to disambiguate.

Disclaimer

This page is operational reference for medical-billing professionals. It is not legal, clinical, or contractual advice. X12 code descriptors are maintained by the X12 External Code Lists; always verify against the current X12 release and the payer's own published policy before submitting or appealing a claim.