Professional Insights

Outsourcing Coding & QA for Home Health & Hospice

11/21/2025

Rich Corcoran, CCG’s founder, shares his views on the benefits of the outsourced services offered through our relationship with Cliniqon, a leading business process management company that provides home health & hospice coding and QA services, clinical administration and revenue cycle management services.

Q: Why is it important for organizations to consider an external source, such as Cliniqon/CCG, to handle Coding and/or QA work? Is something in the industry today making this especially compelling?

Over the past few years, the financial pressure on home health and hospice agencies has accelerated. Reimbursement is tightening, and the margin compression we are all seeing is real. When gross margins fall into the 30–35% range, agencies simply cannot sustain overhead levels in the 30% range anymore. To remain profitable, overhead needs to be closer to 20–25%.

That forces every agency to take a hard look at the administrative and clinical office functions that are essential, but also repetitive and increasingly costly to staff internally.

At the same time, outsourcing is not just a cost-cutting measure. It has become a strategic tool — a way to combine lower labor costs with better technology, more automation, and a higher level of consistency than most agencies can produce in-house.

In this environment, bringing in an external partner for coding or QA isn’t just an option — it’s becoming an operational necessity for agencies that want to stay financially strong, compliant, and competitive.

Q: As a former home health and hospice CFO and a financial expert, what do you see as the ROI for agencies that use this service?

From my perspective, the ROI comes from two powerful areas: cost reduction and improved reimbursement performance. 

First, the “overhead burden” associated with document flow — scheduling, paperwork management, prep for coding, OASIS, QA — continues to rise. Agencies are spending more on these administrative functions today than ever before. With the right outsourcing solution, I believe agencies can reduce these costs by 30–50%, depending on size and structure.

Second, there is real revenue upside. Better, more consistent coding directly affects reimbursement. Cleaner documentation, fewer errors, and a more accurate clinical picture all contribute to better payment integrity — and help minimize denials, ADRs, and audit risk.

When you put those two together — lower internal cost structure AND improved reimbursement — the ROI becomes hard to ignore.

Agencies that adopt this model will have a structural financial advantage.

Q: What’s special about the relationship between Cliniqon and CCG that differentiates this service from others?

The differentiator is the combination of advanced, cost-efficient back-office operations with high-touch client service.

Many outsourcing models focus solely on labor arbitrage — shipping the work overseas and leaving the client to navigate service issues, delays, and disconnects on their own.

That’s not our model.  With the Cliniqon–CCG partnership, agencies get:

  • The efficiency and lower cost of outsourced labor paired with
  • Experienced local client engagement, oversight, and financial guidance.

We’re not just processing documents. We are helping agencies strengthen margins, improve coding accuracy, and align operations with their overall financial strategy. It’s a true service partnership.

For a brochure on the Cliniqon/CCG services, click here.

If you'd like to have a conversation about how our Cliniqon/CCG services may be able to support your organizational goals, click here to send us an email.

 

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