MedicaidAdministrativeHigh impact
Hospice Nursing Home Room and Board N39 Rejections
Illinois Medicaid - HFS·IL · Palliative Care·Provider Notice
Effective date
Mar 30, 2021
We identified it
Jun 20, 2026
Summary
Hospice agencies must now bill HealthChoice Illinois managed care plans directly for nursing home room and board charges for managed care patients, instead of billing the Department. Claims billed incorrectly to the Department will now reject with error code N39.
Action Required
Immediately: Hospice billing teams must update billing workflows to submit nursing home room and board charges directly to the appropriate HealthChoice Illinois managed care plan for all managed care patients, including MLTSS program enrollees. Stop billing the Department directly for these charges as claims will reject with N39 error code. Contact the applicable HealthChoice Illinois managed care plan with questions.