Allina Health Recovers $22M in Two Years

Business women and doctor talking

In just two years, the collaboration between Allina Health and R1 recovered an impressive $22 million, showcasing their joint success in fortifying financial stability and operational efficiency. Through proactive strategies and optimized revenue solutions, Allina Health not only strengthened its financial standing but also fostered trust and collaboration. This successful partnership exemplifies how proactive measures and strategic alliances can significantly enhance healthcare institutions’ overall performance and success.

I wish every vendor would come to the table like this. Fix these challenges that we’re finding, and by the way, once you fix them, not only do [you] benefit from the revenue and costs and everything else going on, but we’re getting rid of problems for good. I think that has been a major win for us.”

Motti Edelstein

Vice President of Revenue Cycle, Allina Health

As a result of our partnership, Allina Health reviewed our spinal education tools and we reiterated with all the spine coders the level of specific detail needed to capture the correct codes. Many times, the documentation can be very easy to miss and can be as simple as just one sentence, so we were really able to elevate our training materials with that level of detail.”

Catherine Poirier

Coding Trainer, Allina Health

We’ve been very successful in this endeavor these past three years, collecting more than $13 million of our grand total since March of 2022. All that time, R1 has been there with robust analytics, finding these reimbursement opportunities. They are very knowledgeable, they are coders, they understand the work, and they can articulate and provide coding guidelines to correct the issues they find.”

Patricia Bower-Jernigan

Director of Clinical Revenue, Allina Health

Growing our partnership

Healthcare facilities: 12 hospitals, multiple clinics
Annual patient encounters: nearly 8 million
Net patient revenue: $3.2 billion
Services: DRG Validation, Charge Capture (Hospital and Professional Billing), Underpayments, Denials Management
Benefits: financial and operational enhancement

September 2020

Hospital Underpayments
Revenue recovery initiative

June 2021

DRG Validation
Improved billing accuracy

August 2021

Hospital Charge Capture
Enhanced revenue capture

May 2022

Professional Charge Capture
Increased professional billing accuracy

October 2022

Professional Underpayments
Addressed professional billing gaps

August 2023

Denials Recovery
Successful denial resolution


Like all healthcare providers in 2020, Allina Health strove heroically to manage the overwhelming caseloads of the COVID pandemic. Meanwhile, in the business office, the revenue cycle team addressed the financial strains plaguing the balance sheet and identified underpayments as an area of opportunity. Allina Health kicked off its underpayments project in September 2020. While reviewing patient claims with a closed balance, R1 uncovered a significant number of underpaid claims and identified spinal fusion surgery coding as one specific area for improvement.


In addition to Underpayment Recovery work, Allina Health began leveraging the coding-specific reporting capabilities within DRG Validation. The enhanced technology R1 built with insightful feedback from clients like Allina Health enables the DRG review to spot a multitude of coding trends that are opportunities for upstream education; this transition provided continued confirmation that miscoding of spinal-fusion procedures was negatively impacting revenue.

Coding leaders from Allina Health and R1 worked jointly to educate staff on the proper capture and coding of spinal-fusion surgeries to recover missed revenue opportunity from payers on these cases and prevent future revenue leakage.


By reviewing their spinal-surgery coding issues through the lenses of both underpayments and DRG Validation, Allina Health has more than halved spinal-fusion findings with a 52% overall reduction. To date, Allina Health has realized more than $22 million in additional revenue since partnering with R1.

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