Yes, a practice can change medical billing companies while unpaid insurance claims are still outstanding. The key is to assign every existing claim to a specific owner before the transition, preserve claim and payment history, and establish a documented cutover for new services. This prevents open AR, denials, and appeals from being overlooked during the change.
The Medicator’s can help practices structure this transition through medical billing and RCM services while maintaining visibility over both new claims and legacy AR.
What happens to claims already in process?
Changing your billing company does not erase or restart an existing insurance claim. The claim remains associated with the original date of service and payer transaction. What changes is who is responsible for managing the account.
Before terminating the old billing relationship, create a claim-level transition report containing:
- Patient/account identifier
- Date of service
- Payer and claim number
- Billed and outstanding amount
- Claim acceptance status
- Denial or rejection reason
- Appeal status
- Last follow-up action
- Next required action
- Timely-filing or appeal deadline
This gives the new billing team a clear starting point for AR Management.
What is the safest way to transfer unpaid claims?
Use a defined legacy AR plan. Depending on the contract, the outgoing company may continue working older claims for an agreed period, or the incoming company may take responsibility for them.
Do not transfer only the dollar balance. Transfer the supporting claim notes, payer correspondence, remittance details, denial history, and documentation needed for follow-up.
Specialty example: Suppose a dermatology practice has an unpaid procedure claim that was rejected because of an authorization issue. The new biller should first review the original Prior Authorization, CPT code, payer response, and medical documentation before resubmitting or appealing the claim.
What should you verify during the transition?
A smooth handoff should include:
Claims: Confirm accepted, rejected, denied, and pending claims.
Payments: Reconcile ERA/EFT activity and complete Payment Posting.
Coding: Preserve Medical Coding records, including CPT and ICD-10 information.
Payer access: Verify clearinghouse connections, payer portals, Eligibility Verification, Credentialing, and enrollment information.
Compliance: Transfer protected health information through approved, secure processes.
The biggest mistake to avoid
Do not assume that “the old company will finish everything” without documenting that responsibility. Open claims can remain untouched when both companies believe the other is handling them.
The Medicator’s AR management services can help practices organize outstanding claims, prioritize follow-up, and maintain accountability during an RCM transition.
Before switching, ask both billing companies to sign off on the same legacy-claim responsibility list. That simple step can help protect revenue that is already sitting in your accounts receivable.
