CARC 263: Adjustment for shipping cost.
Adjustment for shipping cost.
CARC 263 is the code your insurance company used to explain why your claim was reduced, denied, or paid less than expected. It appears on your Explanation of Benefits (EOB) — the statement your plan sends after a claim is processed. Here's what it means for you and what you can do about it.
What CARC 263 means
The official X12 description is: “Adjustment for shipping cost.”
In plain language: Adjustment for shipping cost.
What to do next 263
Verify the EOB details. If you believe the code is misapplied, contact the carrier's member services or your provider's billing office.
CARC 263 group codes explained
On the 835 ERA, CARC 263 appears alongside a group code that signals who is financially responsible for the adjustment. OA (Other Adjustment) — Informational or coordination-related adjustment. Usually means another payer is involved or there's a non-claim-related accounting entry.
Frequently asked questions
What does CARC 263 mean?
Adjustment for shipping cost. In plain language: Adjustment for shipping cost.
Is CARC 263 appealable?
CARC 263 is usually not appealable on its own — it's typically a contractual, informational, or routine adjustment. Verify the EOB details. If you believe the code is misapplied, contact the carrier's member services or your provider's billing office.
Which group code does CARC 263 appear under?
CARC 263 most often appears under: OA (Other Adjustment) — Informational or coordination-related adjustment. Usually means another payer is involved or there's a non-claim-related accounting entry.
What should I do if I see CARC 263 on the 835?
Verify the EOB details. If you believe the code is misapplied, contact the carrier's member services or your provider's billing office.
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Sources
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