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N663 Remark Code: Paid at an Agreed Amount

N663 means the payer adjusted the claim to an amount agreed on in advance, for example a single case agreement, a negotiated bill, or a rate arranged by a pricing vendor. The difference from your charge is the reduction you accepted.

Quick facts

Code
N663 (RARC N663)
Status
Active In use since July 15, 2013.
Code set
Remittance Advice Remark Codes (RARC)
Group codes
  • CO (Contractual Obligation): The reduction to the agreed amount is the provider's write-off, and agreements of this kind often bar billing the patient for it.
  • PR (Patient Responsibility): Deductible, coinsurance, or copay under the patient's plan can still apply to the agreed amount and is reported under PR.
Official description
Adjusted based on an agreed amount.
X12 Remittance Advice Remark Codes, retrieved September 25, 2026
Last verified
against the official X12 list.

What N663 means

Not every payment comes from a standing fee schedule. Sometimes a payer and a provider agree on a specific amount for a specific patient or claim. That might be a single case agreement for an out-of-network specialist, a negotiated settlement of a high-dollar bill, or an offer made through a repricing vendor. N663 tells you the claim was priced at that agreed figure.

Because an agreement was involved, the key question isn’t whether the payer’s schedule was right but whether the payment matches what was actually agreed.

When to look closer

  • No one on your team remembers agreeing. Repricing vendors often call or fax offers that a staff member may have accepted without the billing team knowing.
  • The amount doesn’t match the signed agreement.
  • The agreement covered different services or dates than the ones on this claim.
  • Cost-sharing looks wrong, such as a patient responsibility calculated on your full charge rather than the agreed amount.

What to do

  1. Locate the agreement, including who signed it and its terms, services, and dates.
  2. Compare it to the remittance, both the allowed amount and the patient responsibility.
  3. If it matches, post the reduction as a write-off and bill the patient only for PR amounts.
  4. If it doesn’t, send the payer the agreement and ask for reprocessing.
  5. If there was no valid agreement, dispute the pricing and ask the payer to reprice under your contract or its standard out-of-network method.

How to prevent it

Route every rate offer or single case agreement through one person, record it against the patient’s account, and keep a copy with the claim. That way, when N663 arrives, you can confirm it in minutes.

Codes that may appear with N663

  • CO-131 (Claim specific negotiated discount.): A claim-specific negotiated discount, the typical reason code for a one-off agreement.
  • CO-45 (Charge exceeds fee schedule/maximum allowable or contracted/legislated fee arrangement.): The charge exceeded the allowed amount, which here was set by agreement.
  • N664 (Adjusted based on a legal settlement.): An adjustment based on a legal settlement rather than a billing agreement.
  • N14Deactivated (Payment based on a contractual amount or agreement, fee schedule, or maximum allowable amount.): Payment based on a contractual amount, fee schedule, or maximum allowable.
  • CO-41Deactivated (Discount agreed to in Preferred Provider contract.): A discount agreed to in a preferred provider contract.

N663 FAQ

I don't remember agreeing to a rate. What happened?

Out-of-network claims are sometimes repriced by a third-party vendor that contacts the provider's office for acceptance. Ask the payer who agreed, when, and for a copy of the agreement.

Can I balance bill the patient after N663?

Usually not. Most negotiated agreements include a no-balance-billing term, and federal and state surprise billing laws may also apply. Read the agreement.

What if the payment is less than the agreed amount?

Send the payer a copy of the agreement and request reprocessing. Keep the signed agreement with the claim file.