There is a time limit for everything, including filing a medical claim. Insurance providers offer varying time limits for submitting medical claims. While some payers have a 90-day limit, others give you a year to file for reimbursements.
However, one thing remains constant. Insurance companies set their deadlines based on the date the service was rendered.
So, what happens if you submit a medical claim after the deadline? Your claim gets denied with a CO 29 denial code. It means that in addition to keeping up with the other guidelines, you must submit your claim on time to avoid rejections and write-offs.
Read this ultimate guide to understand the reasons behind denial code 29 and discover the ideal preventive techniques.
CO 29 Denial Code – Description
The CO 29 denial code basically specifies that your time limit for filing a medical claim has expired. In other words, it simply indicates that the insurance company has rejected your reimbursement request because you failed to follow their timeline for claim submission.
Each payer offers different timeframes for filing a medical claim, usually mentioned in the contract.
For example, a healthcare provider files a claim for coronary artery bypass grafting (CABG) six months after performing the procedure when the deadline mentioned in the contract is 90 days. As a result, the insurance provider rejects the medical claim with a CO 29 denial code.
CO 29 is one of the ten most common denial codes. Imagine taking your time to create an error-free medical claim only to be rejected because you have missed the payer’s deadline for claim submission. However, you can easily avoid this denial code by understanding its common causes and taking necessary preventive steps.
Common Causes of CO 29 Denial Code
Claim denials continue to be a significant hurdle to healthcare organizations. According to Chello, a healthcare lending company, the initial denial rates are around 20%. These figures are already quite harmful to small practices, and the rising costs of services further aggravate their financial problems.
Claim denials are costly to healthcare providers, requiring additional work, resources, and, most importantly, time. Insurance companies frequently tag claims with the CO 29 denial code. The reasons are quite simple!
Delayed Submissions
The primary reason for receiving a CO 29 denial code is untimely claim submission. Insurance companies provide a timeframe for filing a medical claim, usually 60 to 90 days after performing a service or procedure.
Some payers can also offer up to a year. Healthcare providers who fail to submit the medical claim within the specified time usually face claim denials with the CO 29 code.
Miscommunication
By now, we all know that the CO 29 denial code occurs when healthcare providers miss the payer’s submission deadlines. But did you know miscommunication is often the primary reason behind these delayed submissions?
While insurance companies have varying timeframes for accepting medical claims, they all define their timelines in the contract. Healthcare providers often overlook this information, and as a result, they fail to submit the medical claim on time, facing claim rejections with the CO 29 denial code.
Uncontrollable Factors
Some things are just out of our control! Natural disasters, system outages, emergencies, and other unforeseen circumstances can also lead to submission delays. As a result, insurance companies deny medical claims that are filed after the due date.
Preventive Strategies for Denial Code CO 29
Claim denials are inconvenient and costly. According to Xtelligent Healthcare Media network, 20% of healthcare providers lose around $500,000 in annual revenue because of denied claims. While CO 29 is one of the most common denial codes, it is also avoidable. Depending on the reasons, you can take one of the following preventive measures.
Submit Medical Claims On Time
Timely submission is the perfect solution for this problem. Identify the submission deadline and make sure to file all the medical claims within the specified time to avoid the CO 29 denial code.
Review Contracts and Policies
Thoroughly read the contract and the payer’s policies to determine the allowable submission timeframe. Keep an eye on the insurance provider’s latest guidelines and revise your medical billing process to fulfill all the requirements promptly.
Improve Communication with the Payer
Get in touch with the payers to remove any uncertainty. Improve communication with the insurance companies through proper channels to avoid the CO 29 denial code. Stay updated on their latest policies regarding medical claim submissions and contact them to ask for extensions in case of an emergency.
CO 29 Denial Code – Management & Resolution
Prevention can help you receive timely reimbursements. However, you should also know how to respond to the CO 29 denial code. If the payer has rejected your claim with the CO 29 code, you can take the following steps to address the problem.
Verify the Date of the Billed Service
Before doing anything, check the date of the provided service or procedure. Determine if it falls within or outside the payer’s timeframe for claim submission. You can find all the information about the insurance company’s submission deadline on the contract or their website.
Identify the Reason for Submission Delay
If the claim was submitted outside the payer’s allowable timeframe, identify the reason for that delay and take the necessary steps. Many healthcare providers fail to submit medical claims on time due to administrative errors, miscommunication, or external factors.
Contact the Insurance Company
Gather all the supporting documents and contact the payer to discuss the potential solutions. Explain the reason for failing to submit the claim within the specified timeframe.
Appeal if Applicable
If the payer has denied your claim due to some mistake, file an appeal with all the supporting documents. Follow the insurance company’s appeal guidelines and include all the relevant information to receive compensation.
Let a Professional Handle Everything
If you find the entire process stressful and taxing, there is no harm in seeking professional help. Choose a reliable provider for denial management services and hand over everything to the experts.
Bottom Line
Denial code CO 29 is one of the simplest denials to understand. Insurance companies use this code to notify healthcare providers that they have filed a medical claim after the allowable timeframe.
The preventive steps are also quite straightforward. The best solution is to stay updated with the payers’ policies and ensure timely submissions. Just follow our ultimate guide to prevent and reverse denial code 29 and steer clear of potential rework, reimbursement delays, and additional stress.
