ANSWERS · PRACTICE FINANCE

How much revenue is my practice losing to denials?

Most practices lose an estimated 5–10% of net revenue to denials and underpayments they never recover, because roughly two-thirds of denied claims are never reworked and most of those were winnable. The only honest way to size your number is from your own remittances: your denial rate times your average claim value, times the share you write off unappealed, plus the underpayments that posted as 'paid.'

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What actually matters

  • Start with your initial denial rate — healthy is under 5–10%, but many independent practices run 11–15% by payer and don't track it
  • Multiply denied claims by your average reimbursement to get gross dollars at risk each month
  • The real loss is the write-off slice: an estimated 65% of denied claims are never reworked, and about two-thirds of denials are recoverable
  • Add the invisible layer — underpayments and downcoding that post as paid claims your A/R report treats as closed
  • A five-point gap in net collection rate on $1M collected is $50,000 a year straight off the bottom line
Estimate what you're leaving on the table

Move the sliders to your practice. This is a benchmark — your real number comes from your own remittances.

400
$180
12%
Likely recoverable per year
$51,840$68,429
from ~$103,680/yr in denials · about two-thirds are recoverable
Get your exact number from your claims →
Free. We read your actual 835s and return a claim-by-claim figure. No risk — paid only on what we recover.

Common questions

What percentage of revenue do practices lose to denials?

Industry estimates put uncollected denials and underpayments at roughly 5–10% of net revenue for practices that don't work them systematically. Initial denial rates now commonly run 11–15% by payer, and a large share of denied claims are written off without an appeal.

How do I calculate my practice's denial write-off?

Take your denied-claim dollars for a period, subtract what you recovered, and the remainder is your write-off. Most owners are surprised because denials that post and then get abandoned never surface on a standard A/R report.

Are written-off claims worth recovering?

Usually yes — about two-thirds of denials are recoverable and roughly 90% are preventable, so the write-off pile is mostly money you already earned. It sits because working each claim by hand can cost more than the claim returns.

Where Volari fits: Volari reads your actual remittances and returns a claim-by-claim recoverable number — not a benchmark estimate — then works the winnable denials and underpayments for 25% of what it recovers.

Stop estimating. See your real number.

Upload your remittances and Volari returns a claim-by-claim recoverable figure from your own data — not a benchmark. No risk, paid only on what we recover.

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