For many health insurers, enhancement of the claims process is overdue. According to the American Medical Association's (AMA) fourth annual National Health Insurer Report Card released in 2011, the overall rate of inaccurate claims payments increased from the previous year among leading commercial health insurers.

Claims-processing errors by health insurance firms cost billions of dollars and frustrate patients and physicians, the AMA says. The report findings show that commercial health insurers had an average claims-processing error rate of 19.3 percent, an increase of 2 percent compared with the prior year.

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