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Kareo Help Center

New Adjustment Code

Adjustment codes can be used to identify specific types of adjustments made to payments received from insurance companies and patients.

You can define custom adjustment codes, however, you must include an industry standard "adjustment reason" due to the fact that secondary payers require the standardized adjustment reason and not the customized adjustment code.

To add a new adjustment code

  1. 1. Click Settings>Codes>Find Adjustment Codes on the top menu.
    Note: To avoid duplication, a best practice is to first search the database to see if the adjustment code already exists in the system.
  2. If the adjustment code is not in the system, click New at the bottom.
  3. In the Adjustment Code field, enter a code (numbers and/or letters).
  4. In the Description field, enter a description for this code.
  5. In the HIPAA Adjustment Reason field, select the industry standard reason from the drop-down list.
  6. Click Save.
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