Importance of AR Follow-up in Medical Billing
                     
Importance of A/R Follow-up in Medical Billing
Importance of A/R Follow-up
Medical billing is a complicated process that requires special skills in medical billing, coding, denial, and AR 
management from experienced and well-trained staff. The financial health and success of any medical 
practice are dependent on maintaining positive cash flow. In order to provide patient care and cover 
expenses, it’s important that payments are not delayed, lost, or denied. With the understanding of billing 
guidelines and a highly trained staff in place, you’ll start to reap the benefits of high first-pass acceptance 
rates and shorter billing cycles. But even when everything goes right, some claims will still be rejected or 
denied. The accounts receivable (A/R) follow-up team in a healthcare organization is responsible for looking 
after such denied claims and reopening them to receive rightful reimbursement from the insurance carriers. 
Even though these claims could be held up by simple mistakes, you will be surprised to know that over half of 
denied or rejected claims are never reworked. This means that the average healthcare provider is leaving 
thousands of unclaimed dollars on the table every year. In this article, we just highlighted some key benefits 
and overall importance of A/R follow-up in medical billing. 
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Importance of A/R Follow-up in Medical Billing
the claims up to 7 days earlier instead of waiting for the mail will undoubtedly reduce the turnaround time 
for your payments.
Recover overdue payments: A/R follow-ups assist all nursing homes, physicians, hospitals, etc. in recovering 
late payments without a hassle. When the healthcare provider has a team that can constantly involve itself in 
the claims follow-up procedures, it becomes stress-free for the healthcare provider to receive payments in a 
timely manner. Your experienced, skilled team will read the explanation of benefits and will resubmit the 
claim with the required information to receive overdue payments. 
Provide financial stability: As discussed earlier, healthy cash flow provides financial stability to the practice 
and ensures the smooth functioning of day-to-day activities. Healthcare providers need to maintain a secure 
flow of revenue to cover expenses and provide the needed patient care services effectively; the A/R 
department makes sure that all this is taken care of.
Manage pending claims: At times, claims will be kept pending for a certain duration of time as a result of 
additional information needed for the respective member. By executing a proper follow-up, the A/R team can
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Importance of A/R Follow-up in Medical Billing
notify the member regarding the situation so appropriate action can be taken and the entire process is sped 
up again.
Need Assistance in Medical Billing?
Even though A/R follow-up is an important part of medical billing, most practices won’t be able to pay much 
attention to it due to a lack of skilled manpower. It requires skilled and experienced manpower who have 
handled specialty-wise billing and handled that specific insurance carrier. Otherwise, such inexperienced and 
unskilled A/R experts might be unable to handle claim denials resulting in increased rejected payments. In 
such cases, if hiring a skilled A/R expert is not possible then you can always outsource you’re A/R function to 
the medical billing company. 
Medical Billers and Coders (MBC) is a leading medical billing company providing complete 
revenue cycle services. At MBC, one of your daily tasks is pursuing every dollar owed by your practice. Our 
daily workflow automates this task with a claim follow-up that generates patient and payer collection 
worklists so you can prioritize follow-up tasks, boost collections, and reduce the days spent in 
Accounts Receivable in A/R. 
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Importance of A/R Follow-up in Medical Billing
Simplifying your medical billing process and having an A/R follow-up automated process for reworking denied 
claims is essential to the success of any practice. To know more about our A/R follow-up services, contact us 
at [email protected]/ 888-357-3226.
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