# Claim edit: Invalid facility type code on institutional claims

> Stedi now rejects 837I institutional claims with an invalid facility type code. A valid code is two digits, and each digit must be between 1 and 9.

Published Aug 13, 2026

Product: Claim edits

Stedi now rejects [837I institutional](https://www.stedi.com/docs/healthcare/submit-institutional-claims) claims that contain an invalid facility type code.

## Facility type codes

In an institutional claim, the facility type code tells the payer what kind of facility, such as a hospital or a skilled nursing facility, delivered the care.

**Facility type code**

| **Claim type**     | **JSON API field**                                                                                                                                                         | **X12 element**                                                    |
| ------------------ | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------ |
| 837I institutional | [`claimInformation.placeOfServiceCode`](https://www.stedi.com/docs/healthcare/api-reference/post-healthcare-institutional-claims#body.claimInformation.placeOfServiceCode) | `CLM05-01` (Facility Type Code) of Loop `2300` (Claim Information) |

The National Uniform Billing Committee (NUBC) maintains an [official list of valid facility type codes](https://www.nubc.org/license).

Every valid facility type code consists of two digits. The first digit represents the type of facility. The second digit represents the bill classification. For example, `13` indicates a hospital (first digit of `1`) outpatient claim (second digit of `3`).

## How this edit works

Each digit of the facility type code must be in the range of `1` through `9` (inclusive). Facility type codes containing `0` in any position, such as `09` or `80`, aren't valid.

If you submit an institutional claim that contains an invalid facility type code, the payer may reject the claim.

This [edit](https://www.stedi.com/docs/healthcare/claim-edits-and-repairs#edits) catches the issue before the claim reaches the payer. It prevents payer rejections, which take longer to resolve and delay payment for the provider.

## Rejection errors

If you submit a claim using Stedi's [Claim Submission API endpoints](https://www.stedi.com/docs/healthcare/intro-to-claim-submission#api-claim-submission) and the claim fails the edit, you'll get back an error response in real time. The response includes details in the `errors` array.

```json
{
  "errors": [
    {
      "code": "33",
      "description": "Invalid Facility Type Code. The facility type code (bill type) must be two digits with each between 1 and 9. The submitted value, 09, is not a valid code. Correct and resubmit.",
      "followupAction": "Please Correct and Resubmit"
    }
  ]
}
```

If you submit a claim using [SFTP](https://www.stedi.com/docs/healthcare/submit-claims-sftp-connection) and the claim fails the edit, Stedi will reject the claim with a [277CA claim acknowledgment](https://www.stedi.com/docs/healthcare/claim-responses-overview#277ca-claim-acknowledgment). The acknowledgment will include a related [claim status category code](https://x12.org/codes/claim-status-category-codes), [claim status code](https://x12.org/codes/claim-status-codes), and error message.

```text
STC*A7>228*[DATE]*U*[AMOUNT]********Invalid Facility Type Code. The facility type code (bill type) must be two digits with each between 1 and 9. The submitted value, 09, is not a valid code. Correct and resubmit.~
```

## Related claim edits

Stedi has another edit for invalid place of service codes on professional and dental claims. See [Claim edit: Invalid place of service code](https://www.stedi.com/changelog/new-claim-edit-invalid-place-of-service-code).