Why Manual and Robotic Based Claims Processing Falls Short in Today’s Complex Healthcare Landscape
- KeySoftware
- May 22, 2025
- 2 min read
Updated: May 23, 2025
With rising claim volumes, complex regulations, and pressure for faster reimbursements, manual processes—and even basic automation like RPA—can’t keep up.Â
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The Unsustainable Costs of Manual AdjudicationÂ
Manual processing is plagued by inefficiencies:Â
High Administrative Costs: Large teams are needed for repetitive reviews. In the U.S. healthcare system, total net administrative costs account for 7–10% of the country’s GDP. Â
Sources: [Health System Tracker], [Excessive Administrative Costs]    Â
Slow Turnaround: Multi-step manual checks delay reimbursements. The average turnaround time is 30 days with manual adjudication.Â
Source:Â [Insurance Payment Turn Around Time]Â
Error-Prone:Â Human mistakes lead to denials, underpayments, and costly rework. The industry average error rate in manual adjudication is 5%.Â
Source:Â [The basics of the Robotic Process Automation in Insurance Claims]Â
Hidden Risks of Outdated MethodsÂ
Compliance Gaps:Â Inconsistent reviews risk compliance violations.Â
Prompt Pay Penalties: Delays in claim processing can lead to penalties from payers for not meeting timely reimbursement standards—further increasing provider costs.Â
Data Fragmentation:Â Siloed spreadsheets and disconnected tools cripple decision-making.Â
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Why RPA Isn’t the SolutionÂ
While RPA bots offer automation, they introduce new challenges:Â
Limited Speed:Â Fragmented workflows still slow down overall turnaround time (TAT).Â
Scaling Costs:Â More licenses and hardware drive up overhead expenses.Â
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The Future: AI-Powered, Intelligent, End-to-End AutomationÂ
The healthcare industry needs systems that combine business-driven rules with faster processing and scalability, not just band-aid solutions.Â
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KS Claims Auto Adjudication: Built for Speed and AccuracyÂ
Key Software’s solution eliminates bottlenecks with:Â
Blazing Processing: Handles 400 claims per minute with an exceptional degree of accuracy.Â
No Scaling Costs: A single license with standard pricing—no additional infrastructure needed.Â
AI-Driven Rule Creation:Â Harnesses AI to simplify and accelerate rule generation.Â
24/7 Operation:Â Enables continuous claims processing with no downtime or scheduling limitations.Â
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The Bottom LineÂ
KS Claims Auto Adjudication delivers speed, accuracy, and scalability for today’s healthcare needs.Â
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✅ Ready to modernize your claims processing?Â
