Ask MGMA: How AI is Driving Payer Downcoding and What Medical Practices Can Do About It
Download MP3In this episode of the Ask MGMA Podcast, hosts Daniel Williams and Christy Good dig into one of the most urgent issues medical practices are facing: payer downcoding and the increasing influence of artificial intelligence in reimbursement decisions. Discover why evaluation and management (E/M) claims are being reduced without medical record review, how automated systems are affecting your revenue, and what actions you can take to identify, track, and appeal unjustified downcodes. Whether you're feeling the impact already or want to stay ahead of the curve, this conversation offers practical tips and valuable resources to support your team.
Key Highlights
- 0:53 – Welcome & Topic Overview
Daniel and Christy introduce the episode and the rising issue of AI-driven downcoding.
1:53 – What is Payer Downcoding?
Christy explains how downcoding works, what’s changed with AI, and why it goes against CMS guidelines.
3:19 – How AI Flags Claims
An inside look at how AI uses historical data to decide what gets downcoded — and why that’s problematic.
4:05 – The Impact on Providers
More than lost revenue — learn how this practice increases administrative burden, delays payments, and affects provider profiles.
6:04 – Spotting the Red Flags
Key signs your practice may be getting downcoded and what to look for on remittance advice.
6:39 – What to Do If You’re Affected
Steps to track, appeal, and escalate — and why reporting to MGMA and AMA matters.
8:15 – Strengthening Your Documentation
Avoid copy-paste notes and use specific language to reflect true complexity of care.
11:23 – Using AI to Your Advantage
How practices can deploy AI tools to clean up claims and reduce rejections — plus why human oversight is still key.
12:53 – Advocacy and Policy Action
How to get involved with MGMA’s Government Affairs team, the AMA, and your state’s insurance department.
14:51 – Top Three Takeaways
Christy recaps what every practice should remember: be vigilant, be proactive, be connected.
Direct Links and Resources
- 📧 Contact Ask MGMA: advisor@mgma.com
- 🧠 MGMA Consulting Services: consulting@mgma.com
- 💬 Join the MGMA Community Discussion
- 📢 Report Issues to MGMA Government Affairs: govaff@mgma.com
Additional Resources:
Podcast Sponsor CareCredit
Are you considering financing solutions to help your patients pay for their healthcare cost? But aren't sure where to start. Synchrony is here to help with the CareCredit credit card. For over 35 years, CareCredit has been connecting patients with financing solutions to pay for the care they want or need in a way that helps fit their budget.
When patients use CareCredit, providers get paid within two business days to learn more about how synchronize CareCredit card. To learn more about how Synchrony CareCredit Card can support you and your patients, visit carecredit.com/mgmapodcast.
Podcast Sponsor MGMA Analytics
Are you making decisions based on gut instinct—or on real data?
With MGMA Analytics, you get the benchmarking and business intelligence tools to drive smarter strategies.
From provider compensation to operational costs, MGMA Analytics gives you access to the most trusted data in the industry.
So whether you’re adjusting staffing, setting salaries, or planning for growth, make your next move with confidence.
Visit MGMA Analytics to learn more.
Are you considering financing solutions to help your patients pay for their healthcare cost? But aren't sure where to start. Synchrony is here to help with the CareCredit credit card. For over 35 years, CareCredit has been connecting patients with financing solutions to pay for the care they want or need in a way that helps fit their budget.
When patients use CareCredit, providers get paid within two business days to learn more about how synchronize CareCredit card. To learn more about how Synchrony CareCredit Card can support you and your patients, visit carecredit.com/mgmapodcast.
Podcast Sponsor MGMA Analytics
Are you making decisions based on gut instinct—or on real data?
With MGMA Analytics, you get the benchmarking and business intelligence tools to drive smarter strategies.
From provider compensation to operational costs, MGMA Analytics gives you access to the most trusted data in the industry.
So whether you’re adjusting staffing, setting salaries, or planning for growth, make your next move with confidence.
Visit MGMA Analytics to learn more.
