Automation enabled RCM: The future of medical coding services
Healthcare coding is a challenging enterprise. Conditions are often ambiguous, and treatments may vary to account for specific circumstances. As such, medical codes frequently fail to match real-world complexities.
The most recently adopted U.S. coding system, ICD-10-CM, is far more detailed than previous models. While this system has increased the nuance coders can describe, its depth is daunting. So, coders are increasingly relying on automation-enabled RCM services to accurately categorize conditions and treatments.
Here’s how automation will impact the future of medical coding services.
Matching Services to Codes
AI specializes in pattern recognition. It can sort through thousands of codes and identify keywords that match a physician’s description. These systems are flexible enough to incorporate a patient’s age, previous health conditions, and the procedure’s unique details
Such details are integral to handling ICD-10-CM’s complexity.
Boosting Coding Accuracy
In 2020, the denial rate of claims rose to roughly 11%. Coding errors only accounted for approximately 5% of these denials. However, insurers rejecting 5% of claims still costs practices billions of dollars annually.
Accurate coding is highly demanding because staff are overworked and face increasingly complex codes. Automated programs help this problem by delivering pinpoint matches most of the time. When paired with an experienced coder, these systems are far more accurate and faster than human-only teams.
Coding AI Limitations
Some systems are nuanced enough to handle highly complex circumstances. However, these circumstances are where most mistakes occur. Even advanced AI can struggle to differentiate between previous ailments and new conditions undergoing treatment.
Services and conditions frequently have multiple codes that are technically appropriate matches. Unfortunately, most programs are too underdeveloped to recognize which option is most beneficial.
These limitations often result in significant errors. Coders overestimate AI’s ability and fail to routinely review patient charts and physician notes. To fully benefit from technology, practices must learn its restrictions. AI is a tool to enhance coders’ knowledge, not a replacement.
Specializing Health Coding
Modern healthcare artificial intelligence can code simple conditions and services. Previously, inexperienced billers handled these cases. With AI taking over this role, green coders are far less valuable.
Instead, practices must hire proven billers who understand medical codes and automatic coding systems. Unfortunately, this demographic is rare, and many providers struggle to find appropriately credentialed staff.
Incorporating Coding Professionals
Increasingly complex medical codes and AI is turning healthcare coding into a specialized task. Highly trained, experienced workers are necessary to gain significant value from automatic systems. As such, many practices are turning to professional coding and billing services.
Plutus Health understands how to use healthcare AI to boost efficiency. We’ve submerged our team into a detailed study of how to use these systems effectively. Our clients have seen the benefits of this research in the form of fast and high reimbursements. Visit our website to discover our improvement options for your practice.
Key Takeaways
1. Coding AI can sort through thousands of codes to find the appropriate match.
2. Programs are faster and more accurate than human coders.
3. Automatic systems still still require experienced oversight to accurately code complex cases
4. Practices struggle to find highly trained workers to oversee AI coding.
5. Professional coding and billing companies invest in the training and tools to create a powerful staff/AI team.
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FAQs


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Operational inefficiency costs ABA teams up to 10 hours per staff member per week, contributing to burnout, denied claims, and longer accounts receivable (A/R) cycles. These inefficiencies ultimately result in reduced revenue and patient dissatisfaction.


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One $200 million ABA network partnered with Plutus Health to automate eligibility and accounts receivable (A/R) processes. The result: $2M reduction in legacy A/R and a 97% Net Collection Rate.


By improving operational efficiency, investing in technology, and ensuring workforce stability, ABA leaders can align outcomes with reimbursement. Plutus Health supports this transition with scalable RCM and automation strategies.
FAQs


ABA therapy billing is the process of submitting claims to insurance or Medicaid for Applied Behavior Analysis services provided to individuals with autism or developmental disorders. It includes using correct CPT codes, proper documentation, and adherence to payer-specific policies.


Common CPT codes for ABA therapy in 2025 include:
- 97151 – Assessment and treatment planning
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- Always check with payers for any annual changes.


To bill Medicaid for ABA services, providers must ensure credentialing is complete, services are pre-authorized, and claims use the correct codes and modifiers. Medicaid requirements vary by state, so always follow state-specific billing rules.


Common ABA billing mistakes include:
- Incorrect or missing CPT codesplan
- Lack of documentation or treatment
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Without proper credentialing, providers can’t get reimbursed. Insurance and Medicaid require that BCBAs, RBTs, and organizations are credentialed and contracted. Delays in credentialing often cause revenue losses and claim rejections.
FAQs


CMS proposes a 2.4% increase in Medicare ASC payment rates, contingent on meeting ASCQR quality reporting requirements. Plutus Health helps ASCs meet these compliance benchmarks by integrating quality reporting data into RCM workflows, ensuring eligibility for full payment updates.


The ASC Covered Procedures List will expand by 547 procedures, including cardiology, spine, and vascular surgeries. Plutus Health supports expansion into new service lines by customizing RCM processes for high-acuity procedures, minimizing claim denials during the transition.


Site-neutrality narrows the payment gap with hospital outpatient departments, enhancing ASCs' cost-efficiency appeal. Plutus Health helps leverage this advantage in payer negotiations by providing performance dashboards and cost-justification analytics to secure stronger reimbursement terms.


Complex procedures increase denial risk and slow cash flow. Plutus Health's automation-first RCM model delivers 95%+ clean claim rates, reduces A/R days, and safeguards margins, even as your case mix becomes more complex.