Appealing a UnitedHealthcare / Optum CO-197 Denial
A UnitedHealthcare / Optum CO-197 denial (precertification / authorization absent) is one of the most common claim rejections behavioral health therapists face. This guide explains exactly what caused the denial and the most effective appeal strategy for behavioral health practices.
What this denial means
The payer is denying because no prior authorization was obtained before services were rendered. This is one of the most contested denial codes in behavioral health because payers often require authorization for mental health visits when comparable medical/surgical outpatient visits require no authorization.
MHPAEA Mental Health Parity Argument
Requiring prior authorization for outpatient mental health services when comparable medical/surgical outpatient services do not require authorization is an NQTL that violates MHPAEA (29 CFR § 2590.712(c)(4)). Under CAA 2021 § 203 the plan must produce, on request, a written comparative analysis showing the authorization standard is applied no more restrictively to mental health than to medical/surgical care — that statutory disclosure duty was unaffected by the 2025 federal non-enforcement of the 2024 Final Rule.
Request UnitedHealthcare / Optum's written Non-Quantitative Treatment Limitation (NQTL) comparative analysis. They are required to provide it under the MHPAEA Enforcement Final Rule (2024).
Your appeal strategy
Appeal by invoking MHPAEA: document whether the payer requires prior authorization for comparable outpatient medical services (e.g. physical therapy, specialist visits). If no authorization is required for medical care but is required for therapy, this is a parity violation. Request the payer's NQTL comparative analysis in writing. Also check whether state law imposes any carve-out for emergency mental health services that bypasses authorization requirements.
What UnitedHealthcare / Optum requires
P.O. Box 30432
Salt Lake City, UT 84130
30 calendar days (Level-1 appeal)
60 days from Level-1 denial
1-801-938-2100
UHC/Optum manages behavioral health in-house for most commercial products. UHC was subject to a landmark MHPAEA lawsuit (Wit v. United Behavioral Health, 2021 remanded 2022). Document medical necessity criteria carefully; UHC has been found to use overly restrictive internal coverage criteria.
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Generate my appeal letter →Frequently asked questions
How long does UnitedHealthcare / Optum have to respond to a CO-197 appeal?
Under federal regulations and most state prompt-payment laws, UnitedHealthcare / Optum must respond to a Level-1 internal appeal within 30 calendar days. If you receive an adverse determination, you typically have 60 calendar days from the date of the Level-1 denial to request external review. Send the appeal via certified mail or through the payer's portal and keep documentation of the submission date.
Does MHPAEA apply to CO-197 denials?
Yes. Requiring prior authorization for outpatient mental health services when comparable medical/surgical outpatient services do not require authorization is an NQTL that violates MHPAEA (29 CFR § 2590.712(c)(4)). Under CAA 2021 § 203 the plan must produce, on request, a written comparative analysis showing the authorization standard is applied no more restrictively to mental health than to medical/surgical care — that statutory disclosure duty was unaffected by the 2025 federal non-enforcement of the 2024 Final Rule. When filing a CO-197 appeal against UnitedHealthcare / Optum, request their written comparative analysis for mental health vs. medical/surgical benefits under 29 CFR § 2590.712. UHC/Optum manages behavioral health in-house for most commercial products. UHC was subject to a landmark MHPAEA lawsuit (Wit v. United Behavioral Health, 2021 remanded 2022). Document medical necessity criteria carefully; UHC has been found to use overly restrictive internal coverage criteria.
Can I appeal a CO-197 denial more than once?
Yes. Most payers, including UnitedHealthcare / Optum, allow at least two levels of internal appeal (Level-1 and Level-2 or "expedited" review). After exhausting internal appeals, you have the right to request an Independent Medical Review (IMR) or external review through your state insurance commissioner. Keep copies of every appeal, submission confirmation, and payer response.
What documentation do I need to appeal a CO-197 denial from UnitedHealthcare / Optum?
At minimum: the original Explanation of Benefits (EOB) or Remittance Advice (RA) showing the CO-197 denial, the original claim details (CPT code, date of service, NPI, charge amount), and any clinical documentation supporting medical necessity. Because this code has parity implications, also include a written request for UnitedHealthcare / Optum's NQTL comparative analysis under MHPAEA. Submit everything in one packet with a cover letter citing the specific denial code, the date of service, and the claim number.