RAC AUDITS :Follow These 6 Steps to Prepare for RAC Audits

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Note:  The following article synopsis was NOT provided by AAPC. It was created by Find-A-Code/innoviHealth.

Article Overview

This article explains the basics of RAC audit activity and summarizes practical preparation steps for healthcare providers and billing teams. It discusses why these reviews matter, how they can affect claims operations, and what operational areas organizations should strengthen to reduce risk and respond effectively. The content is aimed at providers, compliance staff, revenue cycle teams, and others responsible for documentation and appeals readiness.

Why This Topic Matters

RAC reviews can create significant administrative and financial pressure for providers, so understanding the general audit environment and preparation priorities helps organizations protect documentation quality, respond to record requests, and strengthen billing and appeals processes.

Article Sections

  1. RAC audit environment and safeguards

    An overview of RAC review activity, the broader audit environment, and CMS-related safeguards described in the article. This section sets the context for provider preparation.

  2. Six steps to prepare for RAC audits

    A practical framework for organizational readiness, covering documentation, record requests, billing processes, benchmarking, electronic records, and outside assistance.

  3. Beef up documentation

    Discussion of documentation practices and the importance of maintaining complete and compliant records.

  4. Respond to record requests

    Guidance on handling medical record requests promptly, tracking submissions, and managing unfamiliar contractor requests.

  5. Bill properly

    Focus on strengthening billing processes and controls before claims are submitted.

  6. Use benchmarks

    Advice on comparing organizational patterns with peer and regional benchmarks to identify possible outliers.

  7. Consider electronic records

    A discussion of electronic medical records and their potential operational benefits in documentation and record submission.

  8. Get outside help

    Coverage of when organizations may want external assistance with appeals and review-related processes.

What You Will Learn

  • How RAC audit activity affects providers operationally
  • Which documentation and billing areas are emphasized for preparation
  • Why response processes for record requests are important
  • How benchmarking and electronic records fit into audit readiness
  • When outside assistance may be considered during a review or appeal

Who Should Read This

  • Healthcare providers
  • Compliance staff
  • Medical coders
  • Billing and revenue cycle teams
  • Practice managers
  • Appeals and audit response personnel

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