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Unite Your LIS & RCM and Truly Revolutionize Your Business
May 14, 2025
Laboratory revenue cycle management (lab RCM) has traditionally been looked at as a “back-end” laboratory billing process, but this outdated view is changing as more and more medical laboratories realize there is a better way to capture the important patient and lab data needed for payers.
With LigoLab, it’s possible to access the accurate details needed for a smooth and productive lab billing workflow as the order enters the lab. That’s where validation and scrubbing components are shared by LigoLab’s integrated laboratory information system (LIS software) and lab revenue cycle management modules, and real-time patient and payer data verification RCM tools are seamlessly bound into a live queue-facilitated lab workflow to prevent rejections and denials.
To learn more, we invite you to first watch this video that covers the powerful functionality built into LigoLab’s advanced laboratory billing solutions for independent clinical and pathology labs.
Overcome an Industry Challenge, Reduce Data Quality-Related Denials, and Increase Lab Billing Revenue
Nationwide, an estimated 35 percent of denials are caused by inaccurate or missing data: primarily due to human error and the time-consuming nature of manual processing.
Traditional standalone laboratory billing systems and RCM management company shortfalls substantially contribute to high denial rates and revenue loss because medical LIS & lab RCM systems that operate as separate silos - even if interfaced - lack the full capabilities that can only be achieved with the consistency, transparency, and data integrity that comes with an all-in-one LIS lab platform.
Learn More: Is Your RCM Software Vendor Putting Your Lab’s Needs First?
Unified LIS System Case Study: How Avero Diagnostics Transformed Lab Billing with LigoLab’s All-in-One Platform
When Tina Quevedo returned to Avero Diagnostics in December 2022, she faced two urgent challenges: replacing the lab’s outdated lab revenue cycle management (RCM) system and resolving 47,000 stalled billing encounters that were stuck in the old lab billing software. With over 30 years of billing experience, Quevedo quickly diagnosed the issue - an underperforming legacy RCM system that lacked automation, transparency, and integration with the lab’s LIS system solution.
Avero had been operating with two disconnected laboratory software systems - one for technical laboratory workflows and another for lab billing. This fragmentation caused major inefficiencies and financial strain. Claims couldn’t be submitted due to broken scrubbers, missing fields, and poor system logic. At the Irving, TX location, staff couldn’t verify insurance eligibility or apply AF modifiers to claims - leaving the in-house lab RCM team unsure of the correct payer.
The manual burden was unsustainable. Communication between departments was disjointed, claims were bouncing due to missing demographics, and even a staffing boost of 44 new hires couldn’t overcome the system’s limitations. After exhausting workarounds, Quevedo recommended an immediate shift to LigoLab’s integrated medical LIS and lab billing platform. Leadership agreed, and the transition began in February 2023.
By April, all but surgical claims had moved to the newly live lab RCM module, and by August, the full implementation was complete. According to Quevedo, the go-live process was seamless. “LigoLab flipped a switch, and we went to work,” she said. With LigoLab’s automation-rich laboratory billing solutions, the 47,000 stuck encounters were successfully imported, allowing the billing team to resolve the backlog in under six weeks - recovering more than $4.75 million in revenue.
Within 30 days of implementation, Avero saw measurable improvements. Real-time insurance eligibility, clearinghouse integration, and a real-time rejection queue brought new efficiency. Claims could be verified, scrubbed, submitted, and acknowledged within hours. Key lab RCM metrics from November 2023 to January 2024 included:
- 4–8 hours to complete the full lab billing cycle
- 98.1% of claims paid on first submission
- 99% scrubbed claims accepted by the clearinghouse
These numbers exceeded national benchmarks, reduced A/R times, and improved cash flow.
The benefits of a unified pathology LIS software with modern lab RCM solutions extended beyond the billing department. Data integrity was now assured from order entry through reimbursement. One major improvement was LigoLab’s automated flagging system, which helped Avero manage TC/PC splits and payer-specific rules across locations. Quevedo noted that her staff could now handle complex client requirements with ease, thanks to automation that eliminated unnecessary manual review.
“Every department moves between the LIS and RCM modules to fix or release claims,” she said. “With one shared database, we know where a service occurred, who the rendering provider is, and we can access all documentation instantly.”
The impact on operations was profound. Client invoicing was no longer handled separately, and Quevedo’s team could manage all billing from one system - something the legacy laboratory billing system never supported. Training new hires became easier, too. One recent recruit was fully up to speed within two days. “LigoLab is the most user-friendly system I’ve ever worked with,” Quevedo said.
Support from LigoLab’s team was another differentiator. Issues were addressed quickly, with practical solutions or workarounds always provided. “Customer service is impeccable,” she added.
Today, Avero’s lab billing team no longer waits 24 hours to see if a claim went through. They know in real time. Additionally, lab clients are happier. Report delays caused by the old system have disappeared, and turnaround times for hospital clients have dramatically improved.
In summary, Avero Diagnostics’ switch to LigoLab’s all-in-one medical LIS and lab RCM platform didn’t just solve billing problems - it transformed operations, accelerated revenue, and restored client satisfaction.
On-Demand Webinar: Unifying Technical and Financial Operations to Minimize Denials and Prevent Revenue Leakage
Why Choose LigoLab for Your Laboratory Billing Department?
LigoLab delivers a powerful all-in-one informatics platform that’s fully customizable and built to support every major lab discipline - anatomic and clinical pathology, molecular diagnostics, lab revenue cycle management, and direct-to-consumer lab testing (TestDirectly). Whether hosted locally or in the cloud, LigoLab’s advanced pathology lab software platform adapts to the unique needs of modern laboratories.
By integrating LIS and RCM functionality, LigoLab empowers labs to capture complete and accurate patient and billing data from the start. The result? Fewer errors, faster reimbursements, and improved cash flow - without the burden of manual claim edits or resubmissions.
Ready to streamline your lab billing operations and get paid faster?
Explore LigoLab’s laboratory revenue cycle management solutions and see how we help labs turn complexity into clarity and results into revenue.
