Indianapolis, Indiana. July 11, 2017. — Equian today announced its acquisition of First Recovery Group (FRG), further enhancing Equian’s market leading position in its subrogation line of business. The acquisition of FRG supports Equian’s growth strategy through market expansion into Medicare and Medicaid. Additionally, the acquisition enhances Equian’s legal expertise in government, commercial, and mass tort law while providing FRG’s client base with access to Equian’s predictive analytics – designed to reduce provider and member abrasion – as well as access to accelerated investments in big data technologies.
“Complex federal laws and ever-changing state laws require tackling subrogation in a unique way, and FRG has always been focused on innovative and market-specific solutions that provide our clients specific and local expertise in these complex markets,” stated David Rosen, CEO of FRG. “Today, subrogation is a legal requirement for government health plans, and we are excited to bring our legal and domain knowledge to Equian. Partnering with Equian was a logical next step in staying at the forefront of the market. We are excited about the complementary nature of our businesses, culture, people and access to an innovation engine which will accelerate the value we can provide our clients.”
“Bringing FRG’s expertise to Equian creates a complementary set of services and clients in the healthcare market that will result in additional recoveries for both companies’ clients,” stated Gary Liter, Equian’s President of Subrogation. “FRG’s leading government subrogation solutions and deep expertise in the Managed Medicare and Managed Medicaid markets enable us to accelerate all of our services into this important market segment.”
As a leader in full service payment integrity, Equian is known for driving technological advancements across all categories of payment integrity and has made significant investments in data analytics, claim scoring and robotics and machine learning to bolster its market leading position. The combined FRG and Equian solution will significantly increase the combined company’s annual subrogation recoveries and increase overall savings for customers to over $1.8 billion per year in claim cost reductions.
The companies’ joint efforts will drive innovative solutions aligned with the market’s communicated need for specialized knowledge, continuous improvement, and the latest in technology and analytics.
Equian’s technology investments over the past several years have continued to expand the recovery opportunities for its clients while reducing member abrasion through fewer member interactions to find recoverable files. “Our goal is to find every subrogation opportunity that exists with as few member touches as possible,” said Gary Liter. “Our clients demand substantial reductions in member interactions. Over the last four years, we have reduced member touches by 83%, including an expected reduction of 33% in 2017 alone.”
Equian is a leading end-to-end payment integrity organization. The company manages over $240 billion in claims data annually on their innovative platform designed to assist clients by avoiding, identifying, pricing, analyzing clinical codes, and ultimately recovering inaccurate transactions in the complex environments of healthcare, workers compensation, and property & casualty markets. Equian acts on data to pay the right party, the right amount, at the right time, delivering over $1.6 billion in actionable savings throughout the payment spectrum to the company’s nearly 400 customers.
First Recovery Group is expert at understanding the legal regulations that are required of any risk bearing health plan. Company growth and success is due to expertise in regulatory compliance, state specific regulations, and negotiation success to return the greatest potential. The company has been solely focused on healthcare subrogation since inception. FRG increases recoveries for every client by combining superior technology identifying more recoverable claims with attorney focused recovery of every claim – from opening the file to directing the investigation to managing the follow up and recovery.
Mike Morrison, CRO