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US · guidance

CMS Pub. 100-04, ch. 17, § 100.2.8

Claims Submitted for Only Drugs Listed on the Approved

activein force · 2026-08-25 – presentas-observed

CAP Vendor’s Drug List

(Rev. 3721, Issued: 02-24-17, Effective: 05-25-17, Implementation: 05-25-17)

The A/B MAC (B) shall edit to verify that the no-pay lines (lines with the CAP drug

HCPCS code and the J1modifier) that the participating CAP physician has billed is for a

drug included in the CAP and is from the particular CAP vendor they have chosen to

receive drugs from.

If the A/B MAC (B) determines that the physician has billed no-pay lines along with the

codes for the payment of the administration for drug HCPCS code(s) that are not

provided by the approved CAP vendor that the physician had selected, it shall return as

unprocessable those no-pay lines along with the lines for the codes for the payment of the

administration for these drugs.

The contractor shall use the following remittance advice messages and associated codes

when rejecting/denying claims under this policy. This CARC/RARC combination is

compliant with CAQH CORE Business Scenario Three

Group Code: CO

CARC: 96

RARC: N348

MSN: 7.8

History

(Rev. 3721, Issued: 02-24-17, Effective: 05-25-17, Implementation: 05-25-17)

Provenance

Source
cms.gov
Retrieved
2026-08-25
Edition
iom-2026-08-25
Content hash
ebbce7a5e1a92fa1af3a6761a115b898e3211cbbc2d54a33f6ad098ae70b0040
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