What are denials costing your practice?
Denials cost twice: once in staff time to rework them, and again when a denied claim is never recovered. Enter your numbers to see both.
Denial cost calculator
Example numbers shown. Replace them with your own. Nothing you enter leaves your browser.
| Per month | Per year | |
|---|---|---|
| Denied claims | – | – |
| Rework cost | – | – |
| Estimated revenue never recovered | – | – |
| Total estimated denial cost | – | – |
Estimates only, based on the numbers entered above.
How the estimate works
- Denied claims = claims per month × denial rate
- Rework cost = denied claims × cost to rework one claim
- Revenue never recovered = denied claims × share never recovered × average expected payment
- Total estimated denial cost = rework cost + revenue never recovered
Annual figures are the monthly figures × 12.
The share of denied claims that are never recovered is your own estimate, not an industry benchmark. If you are not sure, try a few values to see the range.
Source for the rework example: MGMA, "6 keys to addressing denials in your medical practice's revenue cycle" (2021).
Where denial costs usually come from
Most denials come back to a handful of causes: eligibility, authorization, registration, coding and documentation. See which ones keep repeating.
For more on what can be prevented, read preventable medical billing denials, or see how our denial management works.
Our free Revenue Leak Audit can help identify repeat denial patterns and claims that may deserve another look.