AR Recovery

Accounts Receivable (AR) recovery is a critical function in revenue cycle management (RCM) because it directly impacts an organization’s cash flow, financial stability, and operational efficiency. AR recovery focuses on collecting outstanding payments from insurance payers and patients for services rendered. By systematically addressing unpaid or overdue claims, healthcare providers can reduce revenue leakage, improve financial performance, and maintain a steady income stream to support operational needs.

Effective AR recovery also minimizes the aging of accounts, ensuring that claims are resolved within the acceptable timeframe before they risk being written off as bad debt. Additionally, it helps identify patterns in denials, underpayments, or delays, providing valuable insights to refine billing processes and prevent future issues. Timely and proactive AR recovery enhances the overall efficiency of the RCM process, reduces administrative burden, and ensures that providers are fairly compensated for the care they deliver.