Most labs already have automation.
What they don't have is context.
Bolt-on AI and built-in AI solve different problems. One is the right place to start and the other is what breaks the ceiling. This paper is about knowing which is which before you sign anything.
Written for laboratory billing leaders, RCM directors, and lab executives at independent and specialty laboratories. About a 12-minute read.
$43B
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Spent by hospitals in 2025 trying to collect payments insurers already owed.
American Hospital Association, Costs of Caring 2026
70%
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Of denials are eventually overturned and paid. Most denial work is churn, not recovery.
Avality, 2026 Abrasion Index
25%
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Clinical laboratory vacancy rates in parts of the country.
Office of Rep. Jen Kiggans, Medical Laboratory Personnel Shortage Relief Act
63%/15%
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Of organizations use AI in the revenue cycle, and only 15% report positive ROI.
HFMA and FinThrive, 2026 Benchmarks
What is your current billing software costing you?
Slide to your lab's annual net collections and see what TELCOR's published improvement range is worth in real dollars.
Four AI RCM Capabilities, in Plain Language
Vendor language has gotten loose. Knowing which capability a product has is most of the evaluation.
Most lab billing problems aren't effort problems, they're tooling problems. A system built for physician practices can't see what a lab loses. TELCOR RCM was built to find it.
| CAPABILITY | WHAT IT DOES | IN A LAB, THAT LOOKS LIKE |
|---|---|---|
|
Classification
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Identifies what a document is and who it belongs to.
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Sorting an inbound fax into a denial letter, audit request, or prior auth determination, and attaching it to the right patient and claim.
|
|
Extraction
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Pulls structured facts out of unstructured clinical text.
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Finding the supporting diagnosis inside a 40-page record when the req arrived with an ICD-10 code that won't pay.
|
|
Reasoning
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Assembles an argument from assembled evidence.
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Constructing a payer and patient-specific medical necessity argument for an appeal, citing the record it came from.
|
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Orchestration
|
Takes the next action, and hands off to the next process.
|
An eligibility agent determining prior auth is required, then passing the case to a prior auth agent that builds and submits the packet.
|
The Real Problem
A lab has to articulate medical necessity from outside the provider-patient relationship. The hospital coder can go back to the chart. The lab usually cannot.
"Laboratory has all the complexity of having to articulate medical necessity, but sits removed from the traditional provider-patient relationship. That's what makes it especially tricky."
SUNJAY MOULI, VICE PRESIDENT, AI SYSTEMS, TELCOR
Or Start With Your Last 20 Denials
If you already know the answer and would rather not read nine pages to confirm it, we will run the self-check with you: what the wins depended on, where that information lived, and whether the gap is context or productivity.
TELCOR: A Great Place to Work™
TELCOR customers see the value of choosing a vendor who has been recognized as a Great Place to Work. This prestigious certification is based on direct feedback from TELCOR employees, reflecting their positive workplace experiences. With decades of POC and RCM leadership, customers trust TELCOR for our transparency, responsiveness, and ability to turn complex processes into reliable measurable financial performance. It's not just software, it's a team committed to elevating every facility it serves.
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TELCOR
Collections Performance
6-12% Increase, Up to 95% of Allowed AmountsOwnership Model
Client-Owned License, No Percentage of CollectionsDenial Management
Highly Configurable Rules EngineCustom Billing Rules
Payer-Level Configuration Tailored to Lab WorkflowsReporting & Analytics
Real-Time Dashboards; Client-Editable ReportingImplementation Support
Red-Carpet Rollout; Consistent Team Through Go-LiveSystem Flexibility & Ease of Use
Built with Lab Input for Practical UseClearinghouse Integration
Works with Client's Preferred ClearinghouseCustomer Support Responsiveness
Direct Responsive Access to Billing ExpertsPricing Transparency
Clear, Upfront Licensing and Billing -
Vendor 1
Collections Performance
Strong, but Proprietary Metrics; Varies by ClientOwnership Model
Revenue Share (%) ModelDenial Management
Advanced Tools with Payer-Specific Denial WorkflowsCustom Billing Rules
Some Customization, Often Requires Vendor InvolvementReporting & Analytics
Rich Reporting, But Not Always Client-AccessibleImplementation Support
Scaled Support Model; Varies by Client SizeSystem Flexibility & Ease of Use
Powerful but Known to be Rigid and ComplexClearinghouse Integration
Limited to Preferred Vendor PartnersCustomer Support Responsiveness
Tiered Model; Slower Response Times ReportedPricing Transparency
Opaque Pricing Tied to Revenue Share and Additional Fees -
Vendor 2
Collections Performance
Competitive but Variable; Depends on ConfigurationOwnership Model
Mix of License & Revenue Share Depending on Client SizeDenial Management
Good tools but less flexible without custom developmentCustom Billing Rules
Custom Rules Available But Less Client-DrivenReporting & Analytics
Strong Executive Reporting; Varies by ImplementationImplementation Support
Mixed Reviews Depending on Contract and Internal ResourcesSystem Flexibility & Ease of Use
Flexible, but Often Requires Vendor-Led ChangesClearinghouse Integration
Supports Multiple, but Integrations can be ComplexCustomer Support Responsiveness
Mixed Experience Based on Assigned Support TeamPricing Transparency
Generally Transparent, but Variable Across Agreements