Recovered $7.5M in Outstanding Medical Receivables

Summit Orthopedic Center, a high-volume surgical practice, had accumulated $8.4M in outstanding receivables, with 60% of that balance over 90 days old. Their small billing team had no formal collections process — follow-ups were sporadic, patient communication was inconsistent, and insurance appeals were rarely pursued. The practice was considering writing off nearly $5M as bad debt.

We deployed a dedicated collections team with a structured, tiered approach. Our strategy included segmenting receivables by age, payer type, and dollar value for prioritized outreach, implementing automated patient communication via SMS, email, and phone, designing flexible payment plan options that increased patient willingness to pay, establishing a dedicated insurance appeals team for denied and underpaid claims, and creating weekly reporting dashboards for leadership visibility.

In just 9 months, we recovered $7.5M of the $8.4M in outstanding receivables — an 89% recovery rate. The average days to collect dropped from 78 to just 22 days. Summit avoided writing off $5M in bad debt and established a sustainable collections process that continues to perform.