NHA Billing and Coding Specialist Practice Exam 2025 – Your All-in-One Resource to Success!

Incorrect coding is indeed a prevalent reason for insurance claim denials. When a claim is submitted with errors in the coding, such as using the wrong CPT (Current Procedural Terminology) or ICD-10 (International Classification of Diseases, Tenth Revision) codes, it can lead to misunderstandings about the services provided or the diagnosis. Accurate coding is essential for conveying the appropriate information to insurance companies, and discrepancies can result in denials as payers may question the validity of the services billed.

While other factors can contribute to claim denials, incorrect coding often leads to quick rejection since it directly impacts the claim's eligibility. This is critical for professionals in billing and coding to understand, as ensuring that codes are correctly assigned not only facilitates timely payment but also minimizes the administrative burden associated with resubmitting claims.