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N218 Remark Code: Supplier Must Furnish and Service Item

N218 means the supplier is responsible for furnishing and servicing the item for as long as the patient needs it, and the payer will pay for maintenance or servicing only for the time period set in the contract or coverage manual. Charges outside that period are not separately payable.

Quick facts

Code
N218 (RARC N218)
Status
Active In use since August 1, 2004.
Code set
Remittance Advice Remark Codes (RARC)
Group codes
  • CO (Contractual Obligation): Maintenance or service charges outside the payable period are the supplier's responsibility and cannot be billed to the patient.
  • PR (Patient Responsibility): Any covered maintenance payment may still carry normal patient cost-sharing.
Official description
You must furnish and service this item for as long as the patient continues to need it. We can pay for maintenance and/or servicing for the time period specified in the contract or coverage manual.
X12 Remittance Advice Remark Codes, retrieved September 25, 2026
Last verified
against the official X12 list.

What N218 means

Many rental equipment programs make the supplier responsible for keeping the item working for the whole time the patient needs it. The rental payments are meant to cover that servicing. N218 restates this: the supplier must furnish and service the item, and the payer will only pay separately for maintenance or servicing during the time windows its contract or coverage manual defines.

The remark usually shows up when a supplier bills a maintenance, repair, or service charge the payer considers already included, often with CARC 97 or CARC 96.

Common causes

  • A servicing or repair charge was billed during a rental period when servicing is included in the rental.
  • Maintenance was billed more often than the payer’s schedule allows.
  • The item category is one where the supplier retains servicing responsibility for the life of the need.
  • The supplier changed during a rental, and the new supplier billed for set-up or servicing the payer considers the original supplier’s obligation.

What to do

  1. Identify the equipment class and the payer’s rules for rental, capped rental, and maintenance periods.
  2. Check the claim history for the item to see where the patient is in the rental timeline.
  3. If the maintenance falls within a payable window, submit documentation showing the date and nature of the service, and request reconsideration.
  4. If the charge was billed in error, adjust it off and do not bill the patient.
  5. If a supplier change occurred, review the payer’s rules about which supplier bears servicing responsibility.

How to prevent it

Track each rental item’s start date, payment count, and maintenance eligibility in your DME billing system, and block servicing charges outside payable windows. Train intake staff on the payer’s servicing rules for each equipment category so patients get clear information about what the supplier provides.

Codes that may appear with N218

  • CO-97 (The benefit for this service is included in the payment/allowance for another service/procedure that has already been adjudicated.): The servicing charge is included in the payment for the item or rental already made.
  • CO-96 (Non-covered charge(s).): The maintenance or service charge is not covered in this period.
  • PR-119 (Benefit maximum for this time period or occurrence has been reached.): The benefit maximum for maintenance in the period has been reached.
  • M5 (Monthly rental payments can continue until the earlier of the 15th month from the first rental month, or the month when the equipment is no longer…): Monthly rental payments continue only until a set point, after which other rules apply.
  • M4 (Alert: This is the last monthly installment payment for this durable medical equipment.): Alert that this is the last monthly installment payment for the DME item.
  • N518 (No separate payment for accessories when furnished for use with oxygen equipment.): No separate payment for accessories used with oxygen equipment.

N218 FAQ

Who sees N218?

Durable medical equipment suppliers, typically on rental items and on claims for servicing or maintenance of equipment.

Can the supplier charge the patient for servicing?

Generally not when the remark says the supplier must furnish and service the item. The supplier's obligation continues for as long as the patient needs it, within the contract or coverage manual.

When is maintenance billable?

Only for the time periods and items the contract or coverage manual allows. The rules differ by payer and item class.