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N407 Remark Code: Not an Approved Submitter for Format

N407 means the payer does not recognize you, or the entity that sent the claim, as an approved submitter for the transmission format used. It is usually an EDI enrollment or trading partner problem rather than a problem with the services on the claim.

Quick facts

Code
N407 (RARC N407)
Status
Active In use since August 1, 2007.
Code set
Remittance Advice Remark Codes (RARC)
Group codes
  • CO (Contractual Obligation): The claim was not accepted for processing because of a submission setup issue the provider controls. The charge should not be moved to the patient.
  • OA (Other Adjustment): Some payers report the rejected submission as an other adjustment. Resolve the enrollment and send the claim again.
Official description
You are not an approved submitter for this transmission format.
X12 Remittance Advice Remark Codes, retrieved September 25, 2026
Last verified
against the official X12 list.

What N407 means

Before a payer adjudicates an electronic claim, it checks who sent it. Submitters, whether a practice, a billing company, or a clearinghouse, are normally registered with the payer under a trading partner or EDI enrollment agreement for specific transaction types. N407 says the sender of this claim is not approved for the format it arrived in.

The remark typically appears with CARC 16 or a general denial code. Because nothing about the patient’s care is being questioned, the fix sits with your billing setup.

Common causes

  • New practice or new NPI that has not completed the payer’s EDI enrollment.
  • Switched clearinghouses without updating the payer’s submitter linkage.
  • A billing service began submitting on the practice’s behalf without being added as an authorized submitter.
  • Enrollment covers a different transaction. For example, you are enrolled for remittance or eligibility but not for claim submission, or for professional claims but not institutional ones.
  • Enrollment was terminated or lapsed after an ownership, tax ID, or address change.

How to fix it

  1. Ask the payer’s EDI or provider enrollment unit what submitter information it has for your NPI and tax ID, and which formats you are approved for.
  2. Check with your clearinghouse that its submitter ID is associated with your account for this payer. Many clearinghouses maintain a payer enrollment list you can review.
  3. Complete or update the enrollment and wait for written confirmation before sending claims again.
  4. Resubmit the affected claims. If they were never accepted into the payer’s system, send them as new claims; if they were processed and denied, follow the payer’s corrected claim or reconsideration instructions.
  5. Watch timely filing. Enrollment can take time, so keep proof of your original submission dates in case you need to show the claims were sent on time. See timely filing denials.

How to prevent it

Treat EDI enrollment as part of onboarding whenever you add a provider, change tax ID, switch clearinghouses, or sign a new payer contract. Keep a list of payers, enrolled transaction types, and approval dates. The difference between a front-end rejection and a payer denial is explained in claim rejection vs denial.

Codes that may appear with N407

  • CO-16 (Claim/service lacks information or has submission/billing error(s).): The claim has a submission or billing error; N407 narrows it to the submitter not being approved for the format.
  • CO-A1 (Claim/Service denied.): A general claim denial that relies on remark codes like N407 to explain the reason.
  • N438 (This jurisdiction only accepts paper claims.): The opposite restriction: the jurisdiction only accepts paper claims.
  • N400 (Alert: Electronically enabled providers should submit claims electronically.): An alert telling electronically enabled providers that they should be submitting electronically.
  • N418 (Misrouted claim.): The claim reached the wrong payer or address rather than failing a submitter approval check.

N407 FAQ

Does N407 mean my claim is wrong?

Not necessarily. The services and codes may be fine. N407 is about who submitted the claim and in what format, so fix the enrollment before you change anything clinical.

I use a clearinghouse. Whose enrollment is the problem?

It can be either. The clearinghouse may need its submitter ID linked to your provider record, or you may need to complete the payer's EDI enrollment for your NPI or tax ID. Ask both parties to confirm what the payer has on file.

Can I send the claim on paper instead?

Only if the payer allows paper for your situation. Many payers expect electronic claims, so check before switching formats, or you may trade one rejection for another.