N294 Remark Code: Service Facility Address Invalid
N294 means the primary address of the service facility, where the patient actually received care, was missing, incomplete, or invalid. Payers need a real physical address for the service location to validate and price the claim.
Quick facts
- Code
- N294 (RARC N294)
- Status
- Active In use since December 2, 2004.
- Code set
- Remittance Advice Remark Codes (RARC)
- Group codes
-
- CO (Contractual Obligation): The billing provider must correct the location address. The adjustment is not billable to the patient.
- Official description
Missing/incomplete/invalid service facility primary address.
X12 Remittance Advice Remark Codes, retrieved September 25, 2026- Last verified
- against the official X12 list.
What N294 means
When the service location differs from the billing address, the claim names that location and its address in box 32 (or the 837P service facility section). N294 says the address the payer received was unusable: blank, partial, or not a physical location.
Because location can drive pricing and jurisdiction, payers edit this field carefully. The remark is usually paired with CARC 16.
Problems we see with service addresses
Incomplete lines. City, state, or ZIP code missing, often because an interface only mapped the street line.
Non-physical addresses. A PO box or mailing address entered for a location where patients are seen.
Wrong location. The billing office or main clinic address populated by default, even though the service occurred at a satellite site or hospital.
Outdated facility data. A partner facility moved or renamed its building and your location list wasn’t updated.
ZIP code format. Some payers expect a nine-digit ZIP for service facility addresses; a five-digit value may not pass their edits.
What to do
- Identify the true place of service for the encounter.
- Get the facility’s full street address, with suite, city, state, and ZIP code, from its registration or NPPES entry.
- Update the location record in your system, not just the claim.
- Make sure the name, address, NPI, and place of service code all describe the same location.
- Send a corrected claim with frequency code 7 and the original claim number.
How to prevent it
Validate location addresses against postal standards when they are created. Keep mailing, billing, and service addresses in separate fields so a PO box can’t slip into a physical-address slot. For practices that work across many facilities, a quick audit of the location table every few months keeps N294 from building up. Related guidance on data-error denials is in the CARC 16 guide.
Codes that may appear with N294
- CO-16 (Claim/service lacks information or has submission/billing error(s).): Missing or invalid information; N294 names the service facility address.
Related and easily confused codes
- N258 (Missing/incomplete/invalid billing provider/supplier address.): The billing provider's address is the problem, not the service location's.
- N292 (Missing/incomplete/invalid service facility name.): The service facility's name is the problem.
- N293 (Missing/incomplete/invalid service facility primary identifier.): The service facility's NPI is the problem.
- N281 (Missing/incomplete/invalid pay-to provider address.): The pay-to address is the problem.
N294 FAQ
Can the service facility address be a PO box?
No. It must be the physical location where services were furnished. PO boxes aren't physical service locations.
Why does the payer care about the service address?
Location can affect payment through geographic pricing, can determine which contractor or network applies, and helps payers confirm the location is legitimate and enrolled where required.
Does telehealth change this?
Telehealth location rules vary by payer and change over time. Check the payer's current guidance on which address to report for virtual services.