CO-197 means the payer found no precertification, authorization or notification for the service. It is one of the most common denials on residential, PHP and IOP claims.
Typical causes: an admission over a weekend with the auth requested late, a step-down from residential to PHP that went ahead before the new auth was approved, or an auth recorded under the wrong level of care or provider.
Search your auth records before you do anything else. If an auth exists, send a corrected claim with the number. If it does not, ask the payer about a retro review, and check whether emergency or urgent admission rules apply. Many CO-197s are prevented by checking auth status before each claim goes out.
Questions
What is the difference between CO-197 and CO-198?
CO-197 means no authorization was on file. CO-198 means the services went beyond what was authorized.
Can I get a retro authorization?
Some payers allow retro review, especially for urgent admissions. Check the payer's policy and your contract.
Read next
Educational summary, not billing advice. Official code descriptions are at x12.org. Checked October 2026.