How to Hire a Dental AR Recovery Company for Maximum Revenue

Choosing to hire a dental AR recovery company can recover thousands in denied or underpaid claims, yet many practices leave money on the table due to poor choices. If you’re looking to boost your practice’s revenue, understanding the right steps to take is crucial. Here’s a detailed guide with real numbers and concrete actions you can implement this week.

1. Assess Your Current Accounts Receivable (AR) Situation

Cost: Free
Time: 1 hour
Success Rate: 60% of practices underestimate their AR problems.

Start by analyzing your current accounts receivable. Pull your aging reports and identify claims that are overdue by more than 30 days. A staggering 20% of claims are denied due to errors in submission, which means you need to know where you’re losing revenue. Look for patterns in denied claims—if a significant portion is due to specific insurance providers, you may need to address those relationships directly.

2. Determine Your Recovery Goals

Cost: Free
Time: 30 minutes
Success Rate: 75% of practices recover more when they set clear goals.

Outline what you want to achieve by hiring an AR recovery company. Are you looking to recover 80% of denied claims or simply reduce your overall AR days? Setting measurable goals based on your current situation will guide your selection process and help you evaluate potential partners effectively.

3. Research Potential Recovery Companies

Cost: Varies (some charge a consultation fee)
Time: 2-3 hours
Success Rate: 40% of practices choose the wrong partner due to insufficient research.

Compile a list of at least five dental AR recovery companies. Look for reviews and case studies that demonstrate their success rates. Verify their expertise in dental billing and claims processing. A reputable company should have a proven history of recovering at least 90% of valid claims.

4. Request Proposals and Compare Costs

Cost: Free to request proposals
Time: 1-2 hours
Success Rate: 50% of practices overlook hidden fees.

When requesting proposals, ask for their fee structure. Many companies work on a contingency basis, which means they only get paid when they recover funds. Typical fees range from 20% to 30% of the recovered amount. Be wary of companies that require upfront fees or have vague pricing structures that could lead to unexpected costs.

5. Check References and Understand Their Process

Cost: Free
Time: 1 hour
Success Rate: 30% of practices skip this step, risking poor recovery results.

Once you’ve narrowed down your options, contact references. Ask about their experience with the recovery process, transparency, and communication. A good recovery company should be willing to walk you through their methodology, which should include detailed tracking of claims and regular updates on progress.

6. Make the Hire and Set Expectations

Cost: Variable, based on the recovery fee
Time: 30 minutes
Success Rate: 70% of practices fail to communicate clearly, resulting in misalignment.

When you select a company, ensure that both parties understand the expectations. Outline the specific services they will provide, the timeline for recovery, and how communication will work. Clarity here can make a significant difference in the recovery process and overall satisfaction.

7. Monitor Progress Regularly

Cost: Free
Time: Ongoing
Success Rate: 50% of practices do not track recovery, leading to lost opportunities.

After hiring, it’s crucial to monitor the recovery process regularly. Schedule bi-weekly check-ins to discuss recovery rates, outstanding claims, and any issues that arise. The best recovery companies should be able to provide detailed reports and insights into their efforts.

Conclusion

Hiring a dental AR recovery company can improve your practice’s bottom line. By following these actionable steps, you’ll maximize your chances of effectively recovering denied claims and improving your revenue cycle. Don’t leave money on the table; take the necessary steps to put your practice in a stronger financial position today.