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CARC Code Reference

CARC 108: Rent/purchase guidelines were not met. Usage: Refer to the 835 Healthcare Policy Identification Segment (loop 2110 Service Payment Information REF), if present.

Rent/purchase guidelines were not met. Usage: Refer to the 835 Healthcare Policy Identification Segment (loop 2110 Service Payment Information REF), if present.

Group code CO, PI or PR
Category Plan Provision
Risk level High
Appealable Yes

Common RARC pairings

RARCs (Remittance Advice Remark Codes) provide the specific reason detail alongside CARC 108 on the 835 electronic remittance. These are the RARCs seen most often with this CARC.

RARCMeaning
M7 No rental payments after the item is purchased, returned or after the total of issued rental payments equals the purchase price.
M10 Equipment purchases are limited to the first or the tenth month of medical necessity.
M36 This is the 11th rental month. We cannot pay for this until you indicate that the patient has been given the option of changing the rental to a purchase.
M94 Information supplied does not support a break in therapy. A new capped rental period will not begin.
N10 Adjustment based on the findings of a review organization/professional consult/manual adjudication/medical advisor/dental advisor/peer review.
N130 Consult plan benefit documents/guidelines for information about restrictions for this service.
N171 Payment for repair or replacement is not covered or has exceeded the purchase price.
N223 Missing documentation of benefit to the patient during initial treatment period.

See the full resolution workflow for CARC 108

Members of the EDI-Code Intelligence Lab get the step-by-step rework path, appeal language, root-cause drivers, and prevention checklist for every CARC and RARC pairing, plus payer-specific requirements.

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