Why Leading ASCs Treat Denial Management as an EBITDA Protection Strategy

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For many Ambulatory Surgery Centers (ASCs), denial management has traditionally been viewed as a back-office billing task. Claims were denied, staff corrected errors, appeals were submitted, and payments were eventually collected. In 2026, however, leading surgery centers are treating denial management very differently. They now view it as a direct EBITDA protection strategy that influences profitability, cash flow, valuation, and long-term growth. This shift is occurring because denial-related revenue loss extends far beyond unpaid claims. Every denied claim creates additional labor expense, delays cash flow, increases accounts receivable (AR), consumes management time, and reduces operating margin. When denial rates rise, EBITDA can decline even if surgical volume remains strong. As reimbursement pressure increases, more ASCs are investing in specialized ASC Billing Services , comprehensive medical billing services , advanced RCM services , and proactive Revenue Integrity programs ...

Know your DME HCPCS Codes



In DME medical billing, your DME coders require correct HCPCS codes along with correct modifiers that are used for providing more details about the equipment. If your medical coders are unable to use modifiers or not using them in the correct manner, then the claims may get denied by the insurance company. Some common DME modifiers include RR- rental, UE- purchase of used equipment, and NU- purchase of new equipment.

When a laboratory demand, request for DME is being filled, medical coders will be needed for ICD-10 codes for a patient’s diagnosis.

To use an appropriate HCPCS code for the DME item, many HCPCS codes need a modifier. Modifiers are used to provide more details about the DME item. e.g. The modifier might indicate to HMSA that an item is new, rented on a capped basis, or rented. For capped rentals, modifiers differentiate which month’s rental is being billed.

If your billers use these modifiers incorrectly then the claim will be rejected. To speed up this process of your claims, show the first-month rental by adding the appropriate modifier code and bill your claims in successive order. 


To get more information about DME HCPCS Codes click here: https://bit.ly/3rLoDUp. Get in touch with us at: info@medicalbillersandcoders.com/ 888-357-3226. 

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