N157 Remark Code — 835 ERA Interpretation & Biller Action Guide

📎What Does N157 Mean as a Remark Code on Your ERA?

When N157 appears as a remark code on your 835 electronic remittance advice (ERA), it provides additional context about how the payer adjudicated the claim — beyond what the primary Claim Adjustment Reason Code (CARC) communicates. Remark codes are supplementary identifiers that give billing teams the specific detail needed to understand, act on, and document the remittance transaction correctly.

In the 835 transaction set, this code appears in the Service Payment Information segment (Loop 2110) alongside the payment adjustment data. Billing departments that process ERAs electronically will typically see this code in their practice management system or clearinghouse ERA viewer flagged alongside the payment detail for the specific service line or claim header.

📊How to Read N157 on an 835 Electronic Remittance Advice

In a raw 835 EDI file, remark codes associated with code N157 appear in the SVC/CAS/MOA segments within Loop 2110 (Service Payment Information). The CAS segment carries the Group Code, Reason Code, and adjustment amounts. The MOA segment (Outpatient Adjudication Information) may contain additional remark codes for specific claim types.

When viewing through a clearinghouse ERA viewer or practice management system, look for the remark code column alongside the service line detail. Your system may translate the EDI code into a human-readable description, but understanding the raw EDI loop location helps when troubleshooting complex multi-line ERA files or when cross-referencing against your payer's remittance companion guide.

Example 835 EDI Segment Location

The CAS segment carries the adjustment code N157 with the adjusted amount. MOA or REF segments carry companion RARC codes that provide further context.

🔗Common RARC Codes Paired with N157

Remark Code Adjustment Reason Codes (RARCs) frequently appear alongside N157 to give billing teams more specific information about the adjustment. The combination of the main code and its paired RARC tells the complete adjudication story.

⚡Biller Action Steps When You See N157 on Your ERA

• 1Identify all companion RARC codes on the same service line — these provide the specific reason detail you need to act correctly.
• 2Note the Group Code (CO, PR, OA) to determine who bears financial responsibility for the adjusted amount.
• 3Post the ERA payment accurately to your PM system, correctly applying the adjustment code to the right service line.
• 4Determine whether the denial is correctable (file corrected claim) or appealable (file formal appeal with documentation).
• 5Document the ERA code, date, and action taken in your denial tracking system for reporting and trend analysis.

⚖️How N157 Appears: Paper EOB vs 835 Electronic ERA

On a paper EOB, N157 typically appears in the adjustment column as a numeric or alphanumeric code, often with a footnote key at the bottom of the document that provides the human-readable description. Paper EOBs vary significantly in format by payer, making automated processing impossible.

On an 835 ERA, the same information is structured in standardized EDI segments — primarily CAS and MOA — enabling automated posting by your practice management system. The key advantage of ERA processing is that your PM system can automatically apply the correct adjustment, reducing manual entry errors and speeding up your denial workflow.

🔄Revenue Cycle Workflow Tips for N157 Remark Codes

• →Set up automated ERA worklists in your PM system to flag N157 adjustments for immediate biller review.
• →Track your denial rate for this code monthly — if frequency increases, it signals a systemic front-end billing issue.
• →Create a reference cheat sheet of common RARC pairings with N157 for your billing team's quick reference.
• →Request your payer's 835 Companion Guide for specific formatting rules and code usage guidance for this payer.

❓FAQ — N157 Remark Code