Turning Denial Data Into Action: How Healthcare Organizations Can Fight Back Against Payer Denials

Healthcare providers across the U.S. are facing a growing wave of claim denials that is putting pressure on already strained hospital finances. Industry research from the American Hospital Association shows that nearly 15% of medical claims submitted to private payers are initially denied, forcing hospitals and health systems to spend about $19.7 billion annually attempting to overturn those denials through appeals and administrative processes. As payer rules grow more complex and denial rates climb, denial management is no longer just a revenue cycle task—it has become a strategic priority affecting operations, staffing, and even patient outcomes.

But collecting denial data is only the first step. The real challenge is turning that information into meaningful improvements. How can healthcare organizations transform denial data into actionable insights that reduce denials, improve documentation, and ultimately protect both revenue and patient care?

On this episode of PayerWatch, host Brian McGraw sits down with Reggie Allen, Chief Clinical/Business Operations at PayerWatch, and Dr. Kendall Smith, Chief Medical Officer and Chief Physician Advisor at PayerWatch, to unpack how organizations can use denial analytics to identify root causes, challenge payer behavior, and drive meaningful operational change. Their conversation explores the intersection of clinical documentation, payer accountability, and data integrity in modern healthcare revenue cycle management.

Key topics discussed in this episode include:

• Why actionable denial data matters: How granular analytics can reveal root causes, from payer behavior to internal workflow gaps, allowing organizations to move from denial management to denial prevention.

• Holding payers accountable: Strategies for responding to questionable payer practices, including documenting approvals, citing regulations, and escalating disputes when necessary.

• Connecting denials to patient care: How revenue loss from denied claims can affect staffing, hospital resources, and ultimately the quality of care delivered to patients.

Reggie Allen, RN, serves as Chief Clinical/Business Operations at PayerWatch. A nationally recognized expert in clinical denials and appeals, Allen brings decades of experience helping healthcare organizations overturn denials and develop proactive strategies to prevent them. His work focuses on leveraging denial analytics, operational insight, and regulatory knowledge to improve both revenue cycle performance and clinical documentation processes.

Dr. Kendall Smith is the Chief Medical Officer and Chief Physician Advisor at PayerWatch. A hospitalist by training, Dr. Smith has extensive experience in utilization review, clinical documentation improvement (CDI), and payer dispute resolution. Throughout his career, he has worked closely with health systems to translate clinical data into operational improvements and advocate for fair payer practices.