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What Keeps You Up At Night? (Part 3)

Health system CFOs have listed the top issues confronting them. This is Part 3 of a four-part series exploring these issues and solutions.


  • 90% of claim denials are preventable.

  • 65% of claim denials are never corrected and re-submitted.

  • Denial Write-Offs to Uncollectable has increased by 90% over six years ago. (2017 Advisory Board Survey)

  • Since 2015 successful appeal averages have fallen nearly 20% for Commercial and Medicaid payers.


1. Correct Mistakes at Registration

  • Validate all of a patient’s information each time they are registered.✓

  • Verify all applicable fields are populated, current and correct.

  • Don’t rely on previous registrations even on well-known patients; information changes.


2. Ensure Patient Eligibility

  • Verify with the payer that every patient is eligible to receive all scheduled services.

  • Use any combination of tools including phone and web-based portals or consider outsourcing this function to save personnel costs.

3. Ensure Preauthorization

  • Verify all services are pre-authorized. Industry best practice minimum threshold is >98%

  • Create a master list of your payers and their requirements in an easy-to-access format making special note of any services that require pre-authorization.

4. Correct Coding Errors

  • Consistently maintain updates in coding tool and systems.

  • Ensure selected codes accurately describe services performed.

5.  Provide Sufficient Documentation

  • Diagnostic testing documentation and treatment notes must support coding.

6. Establish Medical Necessity

  • Poor documentation and insufficient coding lead to medical necessity denials, which are a very easy way for payers to deny claims.

  • Improving the quality and accuracy of documentation and coding will decrease these denials.

Implementing these steps will help patients and hospitals focus on care, not payment.


For more information, contact Medical Recovery Services

(816) 229-4887

Medical Recovery Services is a full-service revenue cycle company assisting

hospitals and surgical centers in achieving their full earning potential since 2004.

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