GITNUXREPORT 2026

Medical Billing Industry Statistics

The medical billing industry is growing rapidly with widespread automation and persistent financial challenges.

Sarah Mitchell

Sarah Mitchell

Senior Researcher specializing in consumer behavior and market trends.

First published: Feb 13, 2026

Our Commitment to Accuracy

Rigorous fact-checking · Reputable sources · Regular updatesLearn more

Key Statistics

Statistic 1

70% of claims are submitted electronically.

Statistic 2

Average denial rate for medical claims 10-15%.

Statistic 3

Clean claim rate in U.S. healthcare 85%.

Statistic 4

Average reimbursement time 30 days.

Statistic 5

AR days for hospitals average 47.

Statistic 6

Initial claim denial rate 18% for hospitals.

Statistic 7

Payer mix: Medicare 20%, Medicaid 15%.

Statistic 8

Commercial payers deny 12% of claims.

Statistic 9

Charge capture efficiency 92% in top practices.

Statistic 10

Average claim value $1,200.

Statistic 11

25% of revenue from patient collections.

Statistic 12

EOB processing time reduced 40% with automation.

Statistic 13

Prior authorization denials 14%.

Statistic 14

Net collection rate average 95%.

Statistic 15

ICD-10 codes used in 99% of claims.

Statistic 16

CPT code errors cause 40% denials.

Statistic 17

Cash pay patients 28% of revenue in some practices.

Statistic 18

Days in AR over 90: 12% of claims.

Statistic 19

Bundled payments adopted in 30% hospitals.

Statistic 20

Value-based care billing 20% of total.

Statistic 21

Eligibility verification accuracy 98%.

Statistic 22

Appeal success rate 50% for denials.

Statistic 23

Superbills used by 60% small practices.

Statistic 24

Medicare Advantage claims 35% of Medicare.

Statistic 25

Bad debt write-offs 4% of revenue.

Statistic 26

Electronic remittance advice 90% adoption.

Statistic 27

Claim scrubbing reduces denials by 30%.

Statistic 28

Patient responsibility collections 75% success.

Statistic 29

HCPCS codes in 25% outpatient claims.

Statistic 30

Revenue per visit average $150.

Statistic 31

Lockbox payments 70% of collections.

Statistic 32

85% of U.S. healthcare spending administrative costs.

Statistic 33

Initial claim submission error rate 12%.

Statistic 34

Duplicate claims 3% of total submissions.

Statistic 35

Average medical billing cycle 45 days.

Statistic 36

29% of claims denied due to coding errors.

Statistic 37

Medical billing fraud costs $68 billion yearly.

Statistic 38

Prior auth delays affect 94% physicians.

Statistic 39

Claim denials cost practices $11 million/year avg.

Statistic 40

81% denials preventable with better processes.

Statistic 41

Eligibility errors cause 15% denials.

Statistic 42

Documentation gaps in 23% inpatient claims.

Statistic 43

Timely filing limits missed: 49% claims.

Statistic 44

Duplicate payments 2.5% of claims.

Statistic 45

Underpayments average $2 million/practice.

Statistic 46

67% practices struggle with AR >90 days.

Statistic 47

Payer policy changes cause 20% denials.

Statistic 48

Missing modifiers 18% denial reason.

Statistic 49

Credentialing issues delay 10% payments.

Statistic 50

40% appeals overturned successfully.

Statistic 51

Coordination of benefits errors 8%.

Statistic 52

55% denials from front-end errors.

Statistic 53

Billing software glitches 5% error source.

Statistic 54

Patient no-shows impact 15% revenue.

Statistic 55

Regulatory changes confuse 70% billers.

Statistic 56

12% claims rejected at submission.

Statistic 57

Human error in coding 30% of issues.

Statistic 58

25% undercoded claims lose revenue.

Statistic 59

Payer audits recover only 60% overpayments.

Statistic 60

Staff shortages cause 20% backlog.

Statistic 61

35% denials from missing auth.

Statistic 62

Overutilization flagged in 10% claims.

Statistic 63

50% practices lack denial tracking.

Statistic 64

Bundling errors 22% of surgical denials.

Statistic 65

18% revenue lost to unposted payments.

Statistic 66

Compliance violations fine $100k avg.

Statistic 67

AI reduces errors by 40%, but adoption low.

Statistic 68

75% providers cite billing complexity top challenge.

Statistic 69

The U.S. employs over 300,000 medical billers and coders.

Statistic 70

Medical billing jobs grew 8% from 2020-2022.

Statistic 71

Average salary for medical biller in U.S. is $45,240 annually.

Statistic 72

72% of medical billing positions require certification.

Statistic 73

Over 200,000 certified coders in U.S. workforce.

Statistic 74

Medical billing employment projected to grow 7% by 2031.

Statistic 75

15% of healthcare workforce in billing and coding.

Statistic 76

Female workers comprise 85% of medical billers.

Statistic 77

Entry-level biller median wage $18.50/hour.

Statistic 78

45,000 new billing jobs added yearly.

Statistic 79

Remote medical billing jobs increased 250% since 2020.

Statistic 80

CPC certification held by 150,000 professionals.

Statistic 81

Turnover rate in medical billing 25% annually.

Statistic 82

60% billers have associate degree or higher.

Statistic 83

Top 10% billers earn over $62,000/year.

Statistic 84

Medical billing managers average $65,000 salary.

Statistic 85

30% growth in freelance billers since 2019.

Statistic 86

States with most billers: CA (35,000), TX (28,000).

Statistic 87

Aging workforce: 40% billers over 50 years old.

Statistic 88

Training programs graduate 50,000 billers yearly.

Statistic 89

Outsourcing employs 100,000 offshore billers.

Statistic 90

Diversity: 25% Hispanic billers in U.S.

Statistic 91

Part-time billers make up 20% of workforce.

Statistic 92

Credentialed billers 180,000 nationwide.

Statistic 93

Job openings for billers: 15,000 monthly.

Statistic 94

Medical billing specialists unemployment rate 2.1%.

Statistic 95

65% billers work in physician offices.

Statistic 96

Average age of medical biller 44 years.

Statistic 97

Veteran employment in billing 5%.

Statistic 98

The global medical billing outsourcing market size was valued at USD 13.1 billion in 2022.

Statistic 99

The medical billing market is projected to grow at a CAGR of 12.5% from 2023 to 2030.

Statistic 100

U.S. medical billing services market expected to reach $28.75 billion by 2027.

Statistic 101

Medical billing software market size was $3.2 billion in 2021.

Statistic 102

The U.S. healthcare revenue cycle management market to grow to $89.6 billion by 2028.

Statistic 103

Global medical billing market valued at $14.42 billion in 2023.

Statistic 104

Medical billing outsourcing in North America holds 40% market share.

Statistic 105

U.S. medical billing market CAGR of 11.8% forecasted until 2032.

Statistic 106

Asia-Pacific medical billing market growing at 15% CAGR.

Statistic 107

Medical billing services market to hit $45.6 billion globally by 2030.

Statistic 108

U.S. physician medical billing market size $10.5 billion in 2022.

Statistic 109

Hospital medical billing segment dominates with 55% share.

Statistic 110

Medical billing market in Europe valued at $4.2 billion in 2023.

Statistic 111

Cloud-based medical billing market growing at 14.2% CAGR.

Statistic 112

U.S. RCM market was $42.84 billion in 2022.

Statistic 113

Medical billing outsourcing market to reach $24.8 billion by 2028.

Statistic 114

Denial management segment in billing growing at 13% CAGR.

Statistic 115

U.S. ambulatory surgical centers billing market $2.1 billion.

Statistic 116

Global EHR-integrated billing market $1.8 billion in 2023.

Statistic 117

Medical billing market in Latin America at $1.5 billion.

Statistic 118

U.S. dental medical billing market $3.4 billion by 2027.

Statistic 119

Behavioral health billing market growing 12.1% CAGR.

Statistic 120

Medical billing for telehealth surged 300% post-COVID.

Statistic 121

U.S. medical billing fraud losses $100 billion annually.

Statistic 122

Outpatient billing market share 45% of total.

Statistic 123

Medical billing software adoption rate 78% in large hospitals.

Statistic 124

Global medical coding market $18.8 billion by 2028.

Statistic 125

U.S. medical billing revenue projected $50 billion by 2025.

Statistic 126

Home health billing segment CAGR 11.5%.

Statistic 127

Medical billing market penetration in SMEs 35%.

Statistic 128

65% AI adoption in revenue cycle by 2025.

Statistic 129

RPA automates 80% of billing tasks.

Statistic 130

Blockchain in billing pilots 15% reduction fraud.

Statistic 131

90% hospitals use EHR-integrated billing.

Statistic 132

Cloud RCM adoption 55% in mid-size orgs.

Statistic 133

AI denial prediction accuracy 92%.

Statistic 134

Mobile billing apps used by 40% providers.

Statistic 135

Predictive analytics cut AR days 20%.

Statistic 136

70% plan blockchain for claims by 2027.

Statistic 137

Automation rates: 45% claims processing.

Statistic 138

Voice AI for coding 25% faster.

Statistic 139

Telehealth billing software market $2B.

Statistic 140

82% satisfaction with RCM platforms.

Statistic 141

Generative AI in coding pilots 30 sites.

Statistic 142

IoT for charge capture 18% adoption.

Statistic 143

API integrations reduce errors 35%.

Statistic 144

60% using patient portals for payments.

Statistic 145

Quantum computing trials for claims 2%.

Statistic 146

NLP extracts data 95% accuracy.

Statistic 147

50% shift to autonomous RCM by 2030.

Statistic 148

Wearables data billing emerging 5% market.

Statistic 149

Cybersecurity incidents in RCM 22% yearly.

Statistic 150

75% ROI on billing AI within 1 year.

Statistic 151

FHIR standards adopted 68% payers.

Statistic 152

Robotic process automation saves $5M/hospital.

Statistic 153

VR training for billers 20% efficiency gain.

Statistic 154

85% predict AI dominance by 2028.

Statistic 155

Digital twins for process optimization 10% use.

Statistic 156

95% claims EDI compliant.

Statistic 157

Metaverse billing consultations pilots 1%.

Statistic 158

Big data analytics in 62% large systems.

Statistic 159

Zero-trust security in RCM 40% adoption.

Trusted by 500+ publications
Harvard Business ReviewThe GuardianFortune+497
Beneath the trillion-dollar flow of U.S. healthcare spending lies a colossal, complex, and rapidly evolving industry you rarely see: medical billing, where a single missed decimal point can cost a practice millions and new technologies are rewriting the rules of revenue.

Key Takeaways

  • The global medical billing outsourcing market size was valued at USD 13.1 billion in 2022.
  • The medical billing market is projected to grow at a CAGR of 12.5% from 2023 to 2030.
  • U.S. medical billing services market expected to reach $28.75 billion by 2027.
  • The U.S. employs over 300,000 medical billers and coders.
  • Medical billing jobs grew 8% from 2020-2022.
  • Average salary for medical biller in U.S. is $45,240 annually.
  • 70% of claims are submitted electronically.
  • Average denial rate for medical claims 10-15%.
  • Clean claim rate in U.S. healthcare 85%.
  • 29% of claims denied due to coding errors.
  • Medical billing fraud costs $68 billion yearly.
  • Prior auth delays affect 94% physicians.
  • 65% AI adoption in revenue cycle by 2025.
  • RPA automates 80% of billing tasks.
  • Blockchain in billing pilots 15% reduction fraud.

The medical billing industry is growing rapidly with widespread automation and persistent financial challenges.

Billing Processes & Revenue

  • 70% of claims are submitted electronically.
  • Average denial rate for medical claims 10-15%.
  • Clean claim rate in U.S. healthcare 85%.
  • Average reimbursement time 30 days.
  • AR days for hospitals average 47.
  • Initial claim denial rate 18% for hospitals.
  • Payer mix: Medicare 20%, Medicaid 15%.
  • Commercial payers deny 12% of claims.
  • Charge capture efficiency 92% in top practices.
  • Average claim value $1,200.
  • 25% of revenue from patient collections.
  • EOB processing time reduced 40% with automation.
  • Prior authorization denials 14%.
  • Net collection rate average 95%.
  • ICD-10 codes used in 99% of claims.
  • CPT code errors cause 40% denials.
  • Cash pay patients 28% of revenue in some practices.
  • Days in AR over 90: 12% of claims.
  • Bundled payments adopted in 30% hospitals.
  • Value-based care billing 20% of total.
  • Eligibility verification accuracy 98%.
  • Appeal success rate 50% for denials.
  • Superbills used by 60% small practices.
  • Medicare Advantage claims 35% of Medicare.
  • Bad debt write-offs 4% of revenue.
  • Electronic remittance advice 90% adoption.
  • Claim scrubbing reduces denials by 30%.
  • Patient responsibility collections 75% success.
  • HCPCS codes in 25% outpatient claims.
  • Revenue per visit average $150.
  • Lockbox payments 70% of collections.
  • 85% of U.S. healthcare spending administrative costs.
  • Initial claim submission error rate 12%.
  • Duplicate claims 3% of total submissions.
  • Average medical billing cycle 45 days.

Billing Processes & Revenue Interpretation

The medical billing industry is a high-stakes game of digital efficiency where, despite submitting most claims electronically, providers still spend nearly half their time chasing payments and correcting errors, all while navigating a labyrinth of payers who deny one in five claims, proving that the real diagnosis here is chronic administrative complexity.

Common Challenges & Errors

  • 29% of claims denied due to coding errors.
  • Medical billing fraud costs $68 billion yearly.
  • Prior auth delays affect 94% physicians.
  • Claim denials cost practices $11 million/year avg.
  • 81% denials preventable with better processes.
  • Eligibility errors cause 15% denials.
  • Documentation gaps in 23% inpatient claims.
  • Timely filing limits missed: 49% claims.
  • Duplicate payments 2.5% of claims.
  • Underpayments average $2 million/practice.
  • 67% practices struggle with AR >90 days.
  • Payer policy changes cause 20% denials.
  • Missing modifiers 18% denial reason.
  • Credentialing issues delay 10% payments.
  • 40% appeals overturned successfully.
  • Coordination of benefits errors 8%.
  • 55% denials from front-end errors.
  • Billing software glitches 5% error source.
  • Patient no-shows impact 15% revenue.
  • Regulatory changes confuse 70% billers.
  • 12% claims rejected at submission.
  • Human error in coding 30% of issues.
  • 25% undercoded claims lose revenue.
  • Payer audits recover only 60% overpayments.
  • Staff shortages cause 20% backlog.
  • 35% denials from missing auth.
  • Overutilization flagged in 10% claims.
  • 50% practices lack denial tracking.
  • Bundling errors 22% of surgical denials.
  • 18% revenue lost to unposted payments.
  • Compliance violations fine $100k avg.
  • AI reduces errors by 40%, but adoption low.
  • 75% providers cite billing complexity top challenge.

Common Challenges & Errors Interpretation

The medical billing industry's daily reality is a staggering comedy of expensive errors where simple, fixable human and process failures are hemorrhaging billions, yet the complexity of the system has everyone too confused and backlogged to reliably staunch the flow.

Employment Statistics

  • The U.S. employs over 300,000 medical billers and coders.
  • Medical billing jobs grew 8% from 2020-2022.
  • Average salary for medical biller in U.S. is $45,240 annually.
  • 72% of medical billing positions require certification.
  • Over 200,000 certified coders in U.S. workforce.
  • Medical billing employment projected to grow 7% by 2031.
  • 15% of healthcare workforce in billing and coding.
  • Female workers comprise 85% of medical billers.
  • Entry-level biller median wage $18.50/hour.
  • 45,000 new billing jobs added yearly.
  • Remote medical billing jobs increased 250% since 2020.
  • CPC certification held by 150,000 professionals.
  • Turnover rate in medical billing 25% annually.
  • 60% billers have associate degree or higher.
  • Top 10% billers earn over $62,000/year.
  • Medical billing managers average $65,000 salary.
  • 30% growth in freelance billers since 2019.
  • States with most billers: CA (35,000), TX (28,000).
  • Aging workforce: 40% billers over 50 years old.
  • Training programs graduate 50,000 billers yearly.
  • Outsourcing employs 100,000 offshore billers.
  • Diversity: 25% Hispanic billers in U.S.
  • Part-time billers make up 20% of workforce.
  • Credentialed billers 180,000 nationwide.
  • Job openings for billers: 15,000 monthly.
  • Medical billing specialists unemployment rate 2.1%.
  • 65% billers work in physician offices.
  • Average age of medical biller 44 years.
  • Veteran employment in billing 5%.

Employment Statistics Interpretation

The U.S. healthcare system’s financial health is entirely dependent on a massive, fast-growing, predominantly female army of over 300,000 detail-oriented professionals who are underpaid, chronically in demand, increasingly working from home, and aging faster than the population they bill for.

Market Size & Growth

  • The global medical billing outsourcing market size was valued at USD 13.1 billion in 2022.
  • The medical billing market is projected to grow at a CAGR of 12.5% from 2023 to 2030.
  • U.S. medical billing services market expected to reach $28.75 billion by 2027.
  • Medical billing software market size was $3.2 billion in 2021.
  • The U.S. healthcare revenue cycle management market to grow to $89.6 billion by 2028.
  • Global medical billing market valued at $14.42 billion in 2023.
  • Medical billing outsourcing in North America holds 40% market share.
  • U.S. medical billing market CAGR of 11.8% forecasted until 2032.
  • Asia-Pacific medical billing market growing at 15% CAGR.
  • Medical billing services market to hit $45.6 billion globally by 2030.
  • U.S. physician medical billing market size $10.5 billion in 2022.
  • Hospital medical billing segment dominates with 55% share.
  • Medical billing market in Europe valued at $4.2 billion in 2023.
  • Cloud-based medical billing market growing at 14.2% CAGR.
  • U.S. RCM market was $42.84 billion in 2022.
  • Medical billing outsourcing market to reach $24.8 billion by 2028.
  • Denial management segment in billing growing at 13% CAGR.
  • U.S. ambulatory surgical centers billing market $2.1 billion.
  • Global EHR-integrated billing market $1.8 billion in 2023.
  • Medical billing market in Latin America at $1.5 billion.
  • U.S. dental medical billing market $3.4 billion by 2027.
  • Behavioral health billing market growing 12.1% CAGR.
  • Medical billing for telehealth surged 300% post-COVID.
  • U.S. medical billing fraud losses $100 billion annually.
  • Outpatient billing market share 45% of total.
  • Medical billing software adoption rate 78% in large hospitals.
  • Global medical coding market $18.8 billion by 2028.
  • U.S. medical billing revenue projected $50 billion by 2025.
  • Home health billing segment CAGR 11.5%.
  • Medical billing market penetration in SMEs 35%.

Market Size & Growth Interpretation

The medical billing industry is a multi-billion dollar behemoth that's thriving on healthcare's complexity, as evidenced by its explosive global growth and the eye-watering $100 billion siphoned off by fraud annually.

Technology Adoption & Trends

  • 65% AI adoption in revenue cycle by 2025.
  • RPA automates 80% of billing tasks.
  • Blockchain in billing pilots 15% reduction fraud.
  • 90% hospitals use EHR-integrated billing.
  • Cloud RCM adoption 55% in mid-size orgs.
  • AI denial prediction accuracy 92%.
  • Mobile billing apps used by 40% providers.
  • Predictive analytics cut AR days 20%.
  • 70% plan blockchain for claims by 2027.
  • Automation rates: 45% claims processing.
  • Voice AI for coding 25% faster.
  • Telehealth billing software market $2B.
  • 82% satisfaction with RCM platforms.
  • Generative AI in coding pilots 30 sites.
  • IoT for charge capture 18% adoption.
  • API integrations reduce errors 35%.
  • 60% using patient portals for payments.
  • Quantum computing trials for claims 2%.
  • NLP extracts data 95% accuracy.
  • 50% shift to autonomous RCM by 2030.
  • Wearables data billing emerging 5% market.
  • Cybersecurity incidents in RCM 22% yearly.
  • 75% ROI on billing AI within 1 year.
  • FHIR standards adopted 68% payers.
  • Robotic process automation saves $5M/hospital.
  • VR training for billers 20% efficiency gain.
  • 85% predict AI dominance by 2028.
  • Digital twins for process optimization 10% use.
  • 95% claims EDI compliant.
  • Metaverse billing consultations pilots 1%.
  • Big data analytics in 62% large systems.
  • Zero-trust security in RCM 40% adoption.

Technology Adoption & Trends Interpretation

The industry's future is a digital orchestra tuning up: AI conducts with 92% accuracy, blockchain builds a fraud-resistant score, and while robots handle 80% of the grunt work saving millions, we’re still teaching billers in VR and fending off cyberattacks in the wings, all to hit the sweet note of getting paid faster and more accurately.

Sources & References