# How to Switch Medical Billing Companies Without Losing Revenue - URL: https://practicevendors.com/guides/how-to-switch-medical-billing-companies/ - By: PV Editorial Team - Updated: 2026-10-11 > A step-by-step plan for changing billing companies: notice, old claims, payments, EFT and ERA, filing limits and the first 30 days. ## Key Takeaways - Sign with the new company and save baseline reports before you give notice. - Decide in writing who works the claims from before the switch. - Payments should go to the practice's own bank account throughout. - Give priority to claims near their filing limit. Medicare's is one calendar year after the date of service. Changing billing companies is one of the riskiest months in a practice's year. Claims can fall into the gap between the old company and the new one, payments can go to the wrong account and denials can sit unworked. With a plan, none of that has to happen. This guide walks through the switch step by step. ## Before You Give Notice - **Read your current contract.** Note the notice period, any termination fee, and what the contract says about returning data and working claims already submitted. - **Sign with the new company first.** Agree on a start date before you tell the current company. - **Pull a baseline.** Export an A/R aging report by payer, a list of open denials and the last three months of collections. You will use these to check the handover. - **Confirm system access.** Make sure your practice owns the logins for your EHR, practice management system, clearinghouse and payer portals, not the outgoing company. ## Decide Who Works the Old Claims This is the most important decision in the whole switch. Pick one of these and put it in writing: | Option | How it works | Watch out for | | --- | --- | --- | | Run-out by the old company | The outgoing company keeps working claims with dates of service before the switch, for an agreed period. | Their motivation drops once you leave. Agree on reporting and an end date. | | New company takes everything | The new company works old and new claims from day one. | Old A/R work may be priced differently. Ask. | | Split by date of service | One clear cut-off date decides who owns each claim. | Corrected claims and appeals on old dates must still have an owner. | ## Plan the Payments - **Where the money lands.** Payments should always go to the practice's own bank account. If any payer pays into an account the outgoing company controls, change it before the switch. - **EFT and ERA enrollment.** If bank details or the clearinghouse change, payers need updated enrollment. For Medicare, electronic funds transfer is set up with form CMS-588. Electronic remittances (ERA) usually route through your clearinghouse. - **Lockbox and paper checks.** Decide who opens mail and posts paper payments during the transition. ## The First 30 Days - New company confirms it can log in to every system and portal. - Charge entry and claim submission move to the new company on the agreed date. - Both companies confirm in writing which claims each one owns. - Weekly check-in: claims submitted, payments posted, rejections and denials. - Compare the A/R aging report with your baseline every week. ## Watch the Filing Limits Every payer has a deadline for submitting claims. Medicare's is one calendar year after the date of service, and many commercial payers set much shorter limits in their contracts. During a switch, ask both companies for a list of claims close to their deadline, and give those priority. See our guide to [Medicare timely filing](https://practicevendors.com/timely-filing/medicare/) and the denial code for an [expired filing limit](https://practicevendors.com/codes/carc/29/). ## Signs the Switch Is Going Wrong - Collections drop more than usual for the season - Claims with no status: not submitted, not rejected, not paid - Rising rejections from the clearinghouse - Payments posted late or to the wrong patient - No one can tell you who owns a given claim If you see these, ask both companies for a claim-by-claim list immediately. Most problems are fixable if they are caught in the first few weeks. ## Checklist - Contract notice period and exit terms read - New company signed, start date agreed - Baseline A/R, denial and collection reports saved - All system and portal logins owned by the practice - Owner of old claims agreed in writing - Payment destination, EFT and ERA confirmed - Claims near filing limits listed and prioritized - Weekly check-ins for the first 60 days Looking for a new partner? [Compare medical billing companies](https://practicevendors.com/billing-companies/), read [how to choose one](https://practicevendors.com/guides/how-to-choose-a-medical-billing-company/), or [send one request](https://practicevendors.com/get-quotes/) and we will point you to companies that fit. ## Common Questions ### How long does it take to switch billing companies? The handover happens on one agreed cut-off date, but plan on weekly checks for the first 60 days, plus the notice period your current contract requires. ### Who works the old claims after a switch? Whoever you agree on in writing: the outgoing company for a set run-out period, the new company from day one, or a split by date of service. ### What should I get from the old company before leaving? An A/R aging report by payer, a list of open denials, the last three months of collections, and confirmation that the practice owns every system and portal login. ## Sources - [42 CFR 424.44, time limits for filing Medicare claims (eCFR)](https://www.ecfr.gov/current/title-42/section-424.44) - [CMS-588, Electronic Funds Transfer (EFT) Authorization Agreement](https://www.cms.gov/medicare/cms-forms/cms-forms/downloads/cms588.pdf) --- General information from PracticeVendors, not legal or coding advice.