Clinical audits and denials impact 3% or more of NPR being held in reserve

November 2, 2022

Clinically avoidable denials continue to impact revenue, slow cashflow and increase bad debt, yet CFOs have limited insight into why these denials occur and how to avoid them. Half of healthcare organizations hold more than 3% of total net patient revenue (NPR) in reserves each fiscal year in anticipation of denials claims, with over a third holding back greater than 5%. However, less than a quarter of organizations track trends related to clinically avoidable denials.