WP201 | 4 Ways Insurance-based Practices Quietly Lose Time and Money with Justin Ith

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If you accept insurance in your private practice, you probably already know that it comes with a lot of moving parts.

Credentialing. Eligibility. Claims. Denials. Follow-ups. Documentation. Payer rules.

And somewhere in the middle of all of that, you’re also supposed to actually run your practice and take care of your clients.

In this episode of the Wise Practice Podcast, I sat down with Justin Ith, co-founder and CEO of Aria, a practice automation platform for growing group practices. Justin has spent years working in healthcare technology and revenue cycle management, but what really drew me to his work is why he chose to focus on therapists.

After going through his own experience with depression and finding a therapist who made a significant impact on his life, Justin decided that therapists were the people he wanted to help. When he began talking with clinicians about their biggest challenges, one thing kept coming up: the overwhelming amount of administrative work involved in running a practice.

So we talked about something I know is on the minds of a lot of practice owners:

Where are insurance-based practices quietly losing money?

Justin broke it down into four main areas.

1. Credentialing Mistakes Can Cost You Months of Revenue

Credentialing is one of those things that sounds straightforward until something goes wrong.

You submit an application, expect the process to take 60 or 90 days, and then find out that something doesn’t match. Maybe information in CAQH doesn’t line up with the payer application. Maybe something was entered incorrectly. Suddenly, what should have taken a few months takes much longer.

Meanwhile, you might have a licensed therapist sitting there ready to see clients and a waiting list of people who need services, but you can’t bill insurance for them yet.

That’s not just frustrating.

That’s lost revenue.

It’s also a good reminder that sometimes outsourcing something isn’t simply about saving yourself time. Hiring someone who really understands the process can help prevent mistakes that cost your practice far more than the service itself.

2. Eligibility Isn’t Something You Check Once

The second place practices lose money is through eligibility verification.

This can become especially complicated when working with Medicaid because a client’s eligibility can change from one month to the next.

A client may be verified and eligible in February, and then something changes in March. If your team isn’t checking proactively, you could provide services and later discover that you aren’t going to be reimbursed for them.

This is where the administrative side of accepting insurance can become incredibly time-consuming.

It’s not enough to verify benefits when someone first becomes a client. Practices need systems for continuing to check eligibility and communicating quickly when something changes.

3. Small Claim Errors Can Create Big Revenue Leaks

Next, we talked about the claim submission process.

Modern EHRs have made submitting claims easier, but there are still details that often require human intervention.

For example, practices may need to adjust a rendering provider or modifier depending on the clinician and payer. When those changes are being made manually, there is always an opportunity for human error.

I shared a story about a practice that completed an audit and realized they could correctly change a modifier they were using. Once they fixed it, they started bringing in significantly more revenue.

They weren’t trying to overbill.

They simply didn’t realize they had been underbilling.

Justin sees situations like this regularly. Practices may not even know that there are details they should be looking for, which means money can quietly be left on the table month after month.

This is another reason I’m such a fan of having good systems and good experts around you.

You don’t know what you don’t know.

4. Denials Often Start Long Before the Claim Is Denied

This may have been my biggest takeaway from the entire conversation.

Justin shared something one of his co-founders taught him after more than 25 years working in revenue cycle management:

The heart of most denials is in the front end and the mid-cycle.

In other words, practices often focus their attention on fixing denied claims after the denial has already happened.

But what if we spent more energy preventing those denials in the first place?

The front end includes things like intake and eligibility. The mid-cycle includes documentation and charting. When those systems are strong, many denial problems can be prevented before the claim ever reaches the payer.

I loved this because it reminded me of my own experience working in intake at a psychiatric hospital.

I always felt like if we got something wrong during intake, that mistake followed the client throughout their entire experience.

The same thing can happen with insurance billing.

Sometimes the problem showing up at the end actually began much earlier.

How Much Money Are Practices Leaving Uncollected?

During our conversation, I mentioned that I’ve heard estimates that the average group practice may lose $30,000 to $40,000 per year in uncollected insurance payments.

Justin said that number wouldn’t surprise him.

And then there’s another cost we don’t always think about: all of the staff time required to manage these administrative tasks.

As your group practice grows and you add clinicians, your administrative workload grows too. Eventually, practice owners can find themselves continuously adding staff just to keep up with insurance-related tasks.

That can quickly start eating into your margins.

Where Automation Can Help

This is where Justin and his team at Aria come in.

Aria looks for routine administrative tasks that can be automated instead of requiring someone on your team to complete them manually.

That can include things like:

  • Verification of benefits

  • Coordination of benefits checks

  • Ongoing eligibility verification

  • Claim scrubbing

  • Modifier or rendering provider adjustments

Justin explained that advances in AI are making it possible to automate parts of healthcare administration that traditionally required much more human judgment.

The goal isn’t simply to replace people.

It’s to allow your team to spend their time on work that actually requires a person.

And as your practice grows, that becomes even more important.

Protect Your Revenue Before You Focus on Growing It

We talk a lot as practice owners about making more money.

How do I get more referrals?

How do I add another therapist?

Should I run Google Ads?

How do I grow my caseload?

Those are important questions.

But sometimes growth isn’t about bringing more money into your practice.

Sometimes it starts with making sure you’re actually collecting the money you’ve already earned.

Take a look at your insurance processes.

Where could money be leaking?

Where are you relying heavily on manual processes?

Where do errors keep happening?

And instead of simply fixing problems as they appear, ask yourself whether there’s something earlier in the process that could prevent them altogether.

Because the healthier your systems become, the easier it is to build a practice that can grow without creating more work, more stress, and more administrative chaos along the way.

Meet Justin Ith

Justin Ith is the co-founder and CEO of Aria, the practice automation platform for growing group practices. He has spent the past decade in health technology, with a focus on billing and revenue cycle, working with organizations of every size, from solo practices to large systems like Optum, Providence, and Seattle Children's. What he cares about most is the business side of running a practice: the owners who set out to help people and end up buried in back-office work they never trained for. That is the problem he started Aria to work on.

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Aria on LinkedIn

Aria

Show Sponsor Wise Practice Summit

If you're enjoying today's episode, I want to personally invite you to one of my favorite events of the year—the Wise Practice Summit, happening October 8th through 10th in Nashville, Tennessee.

If you're a practice owner who wants practical strategies to grow your business, become a stronger leader, and connect with other faith-based practice owners who truly understand the unique challenges of this work, this event is for you.

Over three days, you'll hear from incredible speakers, gain actionable tools you can implement right away, and connect with trusted partners like GreenOak Accounting and other experts who are dedicated to helping private practice owners thrive. More importantly, you'll be surrounded by a community of people who share your heart for serving others while building healthy, sustainable businesses.

We're just a few weeks away, so if you've been thinking about joining us, now is the time to grab your ticket. I'd love to meet you in Nashville and spend those three days learning and growing together.

Learn More Here: https://www.wisepracticeconsulting.com/summit-2026-1

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WP200 | Why Knowing What to Do Isn't the Problem