Average Collection Rate Medical Bills


To find the average collection rate and the length of payment collection for medical bills using the largest amount of estimates. Find comparable metrics from other industries to compare with.

Early Findings

Estimates for medical bill collection rate (e.g. % paid) by Physicians and Hospitals

  • According to the Medical Group Management Association (MGMA), it is recommended a net collection rate of at least 95%.
  • The average range is estimated between 95% and 99%, with high performers regularly reaching 99%.
  • According to the American Collection Association, only 15% of Hospital debt is collected and 22% of Non-Hospital Medical debt.
  • In some cases, medical debt collections can be as low as 5%.

Medical Bill Collection Timeline (e.g. number of days/months) by Physicians and Hospitals

  • According to Bravado Health, multispecialty medical practices only collect half their accounts receivable within a month whereas they should be collecting 90% within that period.
  • According to the Medical Group Management Association (MGMA), it is recommended that "Days in Receivables Outstanding" should be in a 40-45-day range, and that accounts over 120 days old are historically almost impossible to collect, with a recommendation to only have 12% of accounts in that category.
  • The average is 40-50 days for medical accounts receivables.

Comparable metrics for consumer bills from other industries e.g. how long does it take to pay utilities, credit cards.

  • On average, utilities in Europe and North America write off 2% of their revenue due to non-collectible debt.
  • Utility companies have been experiencing around 5-7% of bad debt on their bill collections.

In addition to this public search, we scanned our proprietary research database of over 1 million sources and were unable to find any specific research reports that address your goals.

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