CARC 298 Active

CO-298: Medical Plan Benefits Not Available - Forwarded to Vision

TL;DR

CO-298 means the medical plan contractually denies the vision service and forwarded it. Wait for the vision plan determination before posting any adjustments.

Action
Resubmit
Who Pays
Provider
Appeal
No
Patient Impact
None
Disclaimer
This content is for informational purposes only and does not constitute professional billing advice. Always verify information against your payer contracts and current coding guidelines. Consult a certified billing specialist for specific claim issues.

What Does CO-298 Mean?

When CARC 298 appears with CO, the medical plan is contractually denying the vision service and forwarding it. The provider cannot post as a contractual adjustment for the medical plan's denied amount while waiting for the vision plan to process the claim.

CARC 298 is a claim routing code indicating the medical plan received the claim, determined the service falls under vision benefits, and has automatically forwarded the claim to the patient's vision plan for processing. Unlike CARC 297 where the provider must resubmit manually, CARC 298 means the medical plan has taken the forwarding action.

This code appears for the same types of services as CARC 297 — routine eye exams, refractions, eyewear fittings, and other vision-specific services that the medical plan excludes from coverage. The difference is purely in the forwarding mechanism: with CARC 298, the payer has handled the routing. However, providers should not assume the forwarding was successful. Electronic claim routing between plans does not always work smoothly, and claims can get lost in the handoff.

The provider's primary responsibility after receiving CARC 298 is to follow up with the vision plan to confirm receipt of the forwarded claim. If the vision plan has no record of the claim after 7-10 business days, the provider should submit the claim directly to the vision plan rather than waiting for the medical plan's forwarding to complete.

Common Causes

Cause Frequency
Vision service classified under vision benefit, not medical The medical plan determined the service is a vision benefit and forwarded the claim to the patient's vision plan for processing Most Common
Service excluded from medical plan coverage The specific vision service is excluded from the medical plan's covered benefits Common
Coordination of benefits requires vision plan processing The medical plan's COB rules direct the claim to the vision plan Common
Incorrect plan routing The claim was submitted to the medical plan when it should have been sent to the vision plan Occasional

How to Resolve

  1. Track vision plan processing Monitor the vision plan's adjudication of the forwarded claim. Do not write off the balance until the vision plan has completed processing.
  2. Post adjustments after determination Once the vision plan processes the claim, post the appropriate payment or adjustment. If the vision plan also denies, investigate the denial reason.
Do Not Appeal This Code

CARC 298 indicates the medical plan has forwarded the claim to the patient's vision plan. Follow up with the vision plan rather than appealing the medical plan.

Common RARC Pairings

The RARC code tells you exactly what triggered the CO-298:

RARC Description
N590 Alert: This claim has been forwarded to the patient's vision plan for consideration. Follow up with the vision plan to ensure the forwarded claim is being processed →

How to Prevent CO-298

General Prevention

Also Filed As

The same CARC 298 may appear with different Group Codes:

Related Denial Codes

Sources

  1. https://www.mdclarity.com/denial-code/298
  2. https://resdac.org/sites/datadocumentation.resdac.org/files/Adjustment%20Reason%20Code%20Code%20Table%20(TAF%20Claims).txt
  3. https://x12.org/codes/claim-adjustment-reason-codes
  4. Codes maintained by X12. Visit x12.org for official definitions.