Prior Authorization Delay Revenue Loss

Turn prior authorization slowdowns into dollars. Enter the revenue your service line generates per day and how many days approvals are lagging to quantify gross revenue delayed, expected recovery once cases are rescheduled, and the net cash risk that lingers.

Expected gross collections per operating day for the delayed service line.
Calendar days procedures are pushed back while waiting on approval.
Optional. Defaults to 60%. Portion of delayed cases that still occur later in the year.
Optional. Defaults to 92%. Reflects denials and write-offs even after approval arrives.
Optional. Defaults to 5. Converts daily numbers into weekly impact with your clinic schedule.

Operational planning tool—validate revenue and recovery assumptions with finance before making staffing or contracting decisions.

Examples

  • $48,500 daily revenue, 14-day delay, 60% rescheduled at 92% collections, 5-day clinic ⇒ Gross revenue delayed: $679,000.00 USD • Recovered later: $375,720.00 USD • Net revenue risk: $303,280.00 USD • Average loss per delayed day: $21,662.86 USD • Estimated weekly cash impact: $108,314.29 USD.
  • $32,000 daily revenue, 9-day delay, optional fields blank ⇒ Gross revenue delayed: $288,000.00 USD • Recovered later: $165,888.00 USD • Net revenue risk: $122,112.00 USD • Average loss per delayed day: $13,568.00 USD • Estimated weekly cash impact: $67,840.00 USD.

FAQ

How should I estimate the recovery percentage?

Use historic reschedule rates for the same procedure or payer mix. If half of delayed cases never return, set the recovery percentage to 50 to reflect that leakage.

What if authorization denials trigger additional write-offs?

Lower the collection rate input to reflect the net revenue you actually collect after denials, medical necessity downgrades, or fee schedule adjustments.

Can I factor in overtime or locum expenses from catching up?

Yes. Estimate those incremental costs separately and subtract them from the recovered revenue output to see the true margin impact of playing catch-up.

Does this cover multi-modality service lines?

If multiple departments share the backlog, run the calculator for each service line with its own revenue, delay, and recovery assumptions, then combine the net risks for an enterprise view.

Additional Information

  • Result unit: U.S. dollars representing gross delayed revenue, recovered revenue, and net risk.
  • Recovered revenue multiplies rescheduled case share by your collection rate assumption.
  • Weekly impact scales the average daily loss by active treatment days, helping with staffing and cash-flow planning.

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