Payment Posting in Medical Billing for Zero Payment and Denied EOBs
Payment posting in medical billing refers to recording insurance responses when a claim is processed but no reimbursement is issued, including situations involving insurance remittance zero payment. In these cases, the payer sends an Explanation of Benefits (EOB) showing either a zero-paid amount or a denial. Even though no money is received, payment posting is required to update the claim record, capture payer decisions, and move the claim forward for review or correction.
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How Zero Payment Is Handled During Payment Posting in Medical Billing
When an EOB shows zero payment, the payment posting process records a $0 payment amount along with the adjustment codes listed by the payer, which is commonly referred to as zero payment posting in medical billing. These adjustment codes explain why payment was not made, such as bundled services, non-covered procedures, exhausted benefits, or a zero allowed amount in medical billing. Posting zero payment updates the claim status and makes the reason for non-payment visible for review.
Zero payment posting is not skipped because it reflects that the claim was adjudicated and closed by the payer, including cases received through ERA zero payment posting.
How Denied EOBs Are Recorded During Payment Posting
Denied EOB handling involves recording every payer-provided detail that explains why a claim was not reimbursed. The posting process captures denial information shown on the EOB so billing teams can understand payer decisions and identify claims that require correction or appeal. These details are defined by EOB denial codes in medical billing and form the foundation of the insurance denial posting process.
Information recorded during denied EOB payment posting includes:
Denial codes and remark codes explaining the reason for non-payment
Claim line-level denial details linked to specific services
Claim status updated to denied within the posting system
Payer reference numbers and adjudication dates
Documentation notes required for correction or appeal
Data needed for review under the insurance denial posting process
To understand the broader role and importance of payment posting, you can also read this detailed guide on what is payment posting in medical billing.
Difference Between Zero Payment & Denied EOBs in Payment Posting
Although both zero payment and denied EOBs show no reimbursement, they are posted differently. Zero payment often uses adjustment codes without denial indicators, while denied EOBs include denial codes and remarks. Payment posting separates these two outcomes so billing teams know whether a claim is closed due to adjustments or refused due to errors or policy rules during denied claim payment posting.
Posting Differences Between Zero Payment and Denied EOBs:
Adjustment and Denial Codes Used in Zero Payment & Denied EOB Posting
During payment posting in medical billing, adjustment and denial codes explain why reimbursement was reduced or not issued. For zero payment EOBs, payment posting relies on adjustment codes, while denied EOBs require denial codes and remark codes. These codes translate payer decisions into documented claim outcomes and directly support payment posting for denied claims by guiding what action should follow.
Codes commonly captured during zero payment and denied EOB posting include:
Adjustment codes for zero payment EOBs, such as contractual adjustments, bundled services, non-covered charges, or benefit limitations
Denial codes for denied EOBs that indicate eligibility issues, missing information, policy restrictions, or authorization problems
Remark codes that provide additional payer explanations for both zero payment and denied EOBs
Group codes (such as CO or PR) that identify whether the balance is adjusted off or transferred to patient responsibility
In payment posting in medical billing, correct use of these codes determines whether a claim moves to correction, rebilling, appeal, or patient billing. Proper code posting keeps claim history clear and prevents confusion during later claim review or follow-up. To better understand how posting decisions affect downstream processes, read more about how payment posting impacts accounts receivable here.
What Happens After Posting Zero Payment and Denied EOBs
After payment posting in medical billing, zero payment and denied EOBs move from pending status to review queues. Zero payment claims are checked for adjustment or coverage rules, while denied claims are reviewed for correction or appeal. Payment posting triggers follow-up actions and supports denial management after payment posting.
Once posted, claim status is updated and next actions become visible. Zero payment claims may be closed or billed to the patient, while denied claims move to correction or appeal. If you are interested to read more about payment posting, please have a look at this blog on ‘‘Mental Health Clinic Recovers $198K by Fixing Payment Posting’’.
Example: When an EOB Pays Nothing—What Happens Next
➤ Patient Robert Wilson, covered by Medicare, has a claim processed with a $0 payment due to bundling. After payment posting, the zero payment and adjustment are posted, the claim moves to review, and it is closed after verification.
➤ In the same billing cycle, patient Maria Hernandez, insured by Medicaid, receives a denied EOB for missing documentation. Once posted, the claim status changes to denied and moves to a correction queue for resubmission or appeal.
Also Read: What Is Payment Posting In RCM?
Why Zero Payment and Denied EOBs Must Always Be Posted
Skipping zero payment or denied EOBs creates incomplete claim records and hides payer responses. Payment posting documents payer decisions, supports reporting, and keeps claim status current. Without posting, billing teams cannot track denials, analyze trends, or take corrective action.
Posting unpaid EOBs is necessary even when no reimbursement is received.
Conclusion
Zero payment and denied EOBs may show no reimbursement, but they carry information that drives every next billing action. Payment posting in medical billing turns these unpaid responses into clear claim status updates, documented payer decisions, and visible follow-up paths. When zero payment and denials are posted correctly, claims move forward with purpose instead of remaining inactive, helping billing teams respond quickly and keep records complete and reliable.
Review your payment posting process regularly and ensure zero payment and denied EOBs are posted properly to keep claims moving and follow-ups on track.
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