XiFin reports 2025 surge in diagnostic claim denials and revenue challenges

XiFin's recent Payor Denial Impact Report reveals a 40% increase in claim denials across clinical labs, molecular diagnostics, and genomics, highlighting evolving payor policies and documentation hurdles affecting revenue cycle management.

XiFin has published the results of its annual Payor Denial Impact Report, showing a rise in clinical laboratory, molecular diagnostic, and genomics claim denials in 2025. Key findings from the report and summarized in a press release.

The analysis covers more than 30 million clinical laboratory, hospital outreach, molecular diagnostics and genomics, and anatomic pathology claims processed through XiFin’s Empower RCM platform. It assesses how changing payor policies, documentation requirements, and machine-speed adjudication are affecting diagnostics revenue cycle management (RCM), XiFin said.

Among the findings:

  • Clinical laboratory, molecular diagnostic, and genomics claim denials saw a 40% surge compared to the previous report.
  • While traditional Medicare had the lowest denial percentage, denials increased across every insurer type.
  • Genetic and molecular test prior authorization denials have jumped by more than 50% since 2021.
  • The top reason for clinical laboratory claim denials is bundling edits.
  • Patients paid 4% more of their bill in 2025 compared to 2023, but providers collected 3% less of those balances.

About the Author

Erin Brady

Erin Brady

Managing Editor

Erin Brady is Managing Editor of Medical Laboratory Observer.

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