579 Fifth Avenue, 2nd Floor · New York, NY 10017
(212) 300-3191 inquiries@madisonlawfirm.com
Practice Area · Healthcare Law

Insurance Underpaid You.
You Have the Right
to Fight Back.

Madison Law Firm PLLC represents out-of-network surgeons, anesthesiologists, and specialists in New York surprise billing arbitration and federal No Surprises Act IDR proceedings — recovering the full reimbursement the law entitles you to.

Why This Matters
93%
of eligible providers never file — insurers count on your inaction
85%
provider win rate in federal IDR arbitration in 2024
3 yrs
to file under NY law — prior underpaid claims can be recovered
80th
percentile FAIR Health benchmark — NY's provider-favorable standard

Contingency representation — no fee unless we recover. Free accounts receivable review included.

Insurance Carriers Count on
Your Silence.

Every year, out-of-network surgeons, anesthesiologists, radiologists, and other specialists across New York City accept insurance payments that are a fraction of what the law actually entitles them to. The insurance carriers know this. They have actuarial models built around provider inaction.

Under the federal No Surprises Act and New York's own Surprise Bill Law, you have a legally enforceable right to demand more — through a binding arbitration process administered either by the New York Department of Financial Services or by the federal Centers for Medicare & Medicaid Services. The arbitrator picks either your number or the insurer's. Providers win the majority of these cases.

The practical barrier is not the law. It is knowing the process exists, meeting the deadlines, and preparing the evidentiary submission that gives the arbitrator a compelling basis to choose your number over theirs. That is precisely what we do.

"On a $50,000 charge, we have seen insurance carriers pay less than $1,000. The law gives providers the right to challenge that. Most simply don't."

$2.24B
Recovered Above In-Network Rates
Providers recovered $2.24 billion above in-network rates through federal IDR arbitration in 2023–2024 combined.
459%
Median 2024 Federal IDR Award
The median federal IDR payment determination in 2024 was 459% of the insurer's Qualifying Payment Amount — meaning providers received more than 4× what insurers initially offered.
3 yrs
NY State Filing Window
Unlike the federal process, New York's Surprise Bill Law gives providers three full years to file. Claims you wrote off as uncollectable may still be recoverable.
24%
Charge Increase After NY Law Passed
Provider billed charges in New York increased 24% following passage of the Surprise Bill Law — because FAIR Health billed charges are the arbitration benchmark. Understanding this is central to strategy.

Two Laws. One Coordinated
Strategy.

Depending on the type of insurance your patient carries, either New York State law or the federal No Surprises Act will govern your dispute — or both. Understanding which applies is the first step to maximizing your recovery.

New York State

NY Surprise Bill Law &
DFS Independent Dispute Resolution

New York was among the first states to pass comprehensive surprise billing protection, initially in 2015 and substantially expanded in 2018. The operative statute is the Out-of-Network Consumer Protection, Transparency, Cost Containment, and Accountability Act, NY Insurance Law §§ 3217-d and 3241. It applies to fully insured commercial health plans regulated by New York State — Aetna, United, Cigna, Oxford, Emblem, Blue Cross Blue Shield, and others.

  • Patients are held to in-network cost-sharing only — the provider disputes the balance directly with the insurer
  • Arbitration is administered by the NY Department of Financial Services (DFS) through the IDR portal
  • The arbitrator is an Independent Dispute Resolution Entity (IDRE) with healthcare billing expertise
  • Decision within 30 days of submission; binding on both parties
  • The IDRE may direct good-faith negotiation if the gap between offers is extreme
  • Three-year filing window from date of service — prior claims remain eligible
  • Losing party (typically the insurer) pays the IDRE fee

The NY Benchmark Advantage: NY arbitrators consider the 80th percentile of FAIR Health billed charges — the amount higher than what 80% of physicians charge nationally for the same CPT code in the same region. This is dramatically more favorable than Medicare rates or the federal QPA standard.

Federal Law

Federal No Surprises Act &
CMS Independent Dispute Resolution

The No Surprises Act was enacted as part of the Consolidated Appropriations Act, 2021 (Pub. L. 116-260), effective January 1, 2022. It is codified at 42 U.S.C. §§ 300gg-111, 300gg-112 and implemented by 45 C.F.R. Part 149. The federal IDR process applies primarily to self-funded ERISA plans — large employers who self-insure rather than purchase fully insured coverage — which the NY state law cannot reach.

  • Baseball-style arbitration: each party submits a final offer; the IDR entity chooses one — no splitting the difference
  • 30-day open negotiation period must precede IDR; then a 4-business-day window to file
  • Both parties have 10 business days to select a certified IDR entity; CMS selects if parties cannot agree
  • Each party submits proposed payment amount and supporting documentation
  • IDR entity decides within 30 business days; losing party pays the administrative fee
  • Covers emergency services, non-emergency ancillary services at in-network facilities, and air ambulance
  • Claims can be batched by payer, CPT code, and time period — critical for high-volume practices

The Federal Benchmark: The Qualifying Payment Amount (QPA) — the insurer's median contracted rate — is the primary benchmark. Unlike NY law, arbitrators cannot consider billed charges. However, a federal court struck down the rule requiring arbitrators to presume the QPA is correct, freeing them to weigh all factors equally. Providers win approximately 85% of federal IDR disputes.

Factor NY State IDR (DFS) Federal NSA IDR (CMS)
Applies to Fully insured NY commercial plans (individual, small & large group, HMO/EPO) Self-funded ERISA plans; federal employee plans; grandfathered plans post-1/1/22
Filing deadline 3 years from date of service — prior claims recoverable 4 business days after 30-day open negotiation fails
Arbitration benchmark 80th percentile FAIR Health billed charges — highly provider-favorable QPA (insurer's median contracted rate) — one of several factors considered
Arbitration style IDRE selects provider's bill OR insurer's payment Baseball-style: IDR entity selects one party's offer; no compromise
Decision timeline 30 days from IDRE receipt 30 business days after IDR entity selection
Who administers NY Department of Financial Services Centers for Medicare & Medicaid Services (CMS)
Post-award enforcement Court enforcement available if insurer refuses to pay CMS oversight; court enforcement; only 52% of awards paid timely in 2023

Out-of-Network Providers
Across All Specialties.

Every specialty below routinely generates out-of-network encounters in New York — either because the provider is not in the patient's network, or because the patient is referred to them without meaningful choice. Each creates valid IDR claims.

🏥

Plastic & Reconstructive Surgeons

The single most frequent user of NY state IDR arbitration. Emergency room plastic surgeons operating at in-network hospitals generate surprise bills with every procedure. Covered under both state and federal law depending on patient's plan.

💉

Anesthesiologists

Patients select their in-network surgeon — not their anesthesiologist. When the anesthesiologist is out-of-network at an in-network facility, the patient receives a surprise bill. One of the highest-volume IDR specialties nationally.

🔬

Assistant Surgeons

Patients are almost never aware of the assistant surgeon's network status. Under the NY Surprise Bill Law, assistant surgeon charges posted the largest percentage increase in billed charges following the law's passage — a 24%+ average increase.

🚨

Emergency Medicine Physicians

Emergency services are protected under both NY and federal law regardless of facility network status. EM physicians operating out-of-network at in-network facilities cannot balance-bill patients — but can and should pursue IDR for full reimbursement.

🫀

Thoracic & Cardiac Surgeons

High-CPT-code surgical procedures create significant arbitration opportunity. Covered under the federal NSA for non-emergency procedures performed at in-network ASCs and hospitals — including elective cardiac and thoracic surgeries.

🧠

Neurosurgeons & Spine Surgeons

Complex spinal and neurological procedures generate some of the highest-value claims in this practice area. Surgeons who operate at in-network facilities where their own network participation differs from the facility's create classic IDR scenarios.

🩺

Radiologists & Pathologists

Laboratory and diagnostic services are explicitly named in the surprise billing statutes. High-volume practices benefit from claim batching under the federal IDR process — submitting multiple same-payer, same-CPT claims in a single proceeding.

👶

Neonatologists, Hospitalists & Intensivists

Called in to treat patients at in-network facilities without advance patient selection. All three specialties are expressly designated as covered providers under both NY state law and the federal No Surprises Act, effective January 1, 2022.

From Your First Call
to Full Recovery.

We manage the entire IDR process from claims identification through award enforcement. Your responsibility is to provide patient records and billing documentation. Ours is everything else.

01

Free AR Review

We audit your accounts receivable at no charge, identifying underpaid claims eligible for NY state IDR or federal NSA arbitration. We assess potential recovery and outline a strategy specific to your specialty and payer mix.

02

Claim Preparation

We pull FAIR Health benchmark data for your CPT codes, document your credentials and usual charges, gather EOBs and correspondence, and build the evidentiary submission the arbitrator will receive. Strong preparation is the single largest driver of outcomes.

03

Filing & Arbitration

We file via the DFS portal (NY state claims) or the CMS federal IDR portal. We conduct open negotiations with the payer and, if those fail, prosecute the arbitration through hearing. We handle all deadlines, correspondence, and IDRE communications.

04

Award & Enforcement

When we prevail, the insurer must pay within 30 days. If they delay or refuse — a documented pattern — we engage CMS (for federal claims) and pursue court enforcement where necessary. We do not consider the matter closed until you receive payment.

Claims You've Written Off
May Still Be Recoverable.

New York's Surprise Bill Law contains a provision that most out-of-network providers — and many attorneys — are unaware of: the filing window is three years from the date of service. Not 30 days. Not 90 days. Three years.

This means that claims your billing department marked as uncollectable in 2022 or 2023, claims that were denied, underpaid, or simply never disputed — may still be eligible for arbitration today. A single surgical practice with $400,000 in underpaid commercial insurance claims from the past three years could potentially recover a significant portion of that backlog through the NY DFS IDR process.

The insurance carriers are aware of this window. They are counting on the vast majority of providers not using it. We help you use it.

⚖️
FAIR Health 80th Percentile Standard

NY arbitrators consider the 80th percentile of FAIR Health billed charges — the dollar amount above what 80% of physicians nationally charge for the same CPT code. This benchmark is dramatically higher than Medicare rates and the federal QPA, and is the core reason NY state IDR outcomes are superior to federal IDR for many specialties.

📋
Provider-Favorable Arbitration Factors

NY IDREs also consider the provider's training, education, experience, and usual and customary charges; fees paid for the same services to other out-of-network providers in the same region; and the provider's pattern of charges to other payers. Building the record on all of these factors — not just the FAIR Health data — is central to our approach.

🏛️
Litigation-Backed Practice

Unlike pure arbitration filing services, Madison Law Firm is a licensed New York law firm prepared to enforce IDR awards in court if an insurer refuses to pay. We also handle ERISA litigation and federal court proceedings when the facts warrant — giving insurers a reason to settle before arbitration rather than after.

💼
Contingency — Zero Upfront Cost

We handle surprise billing arbitration on a pure contingency basis. We do not charge a retainer, filing fees, or hourly rates for this practice area. We are compensated as a percentage of the recovery above your initial insurer payment. If we do not recover, you owe nothing. The financial risk is ours, not yours.

Answers to What
Providers Ask Most.

Do I have to stop accepting insurance to use this process?
No. The IDR process applies specifically to claims where you were paid as an out-of-network provider — it does not affect your in-network contracts. You can be in-network with certain carriers while simultaneously pursuing IDR against others for claims where you provided services out-of-network.
What if I'm in-network with the insurer? Can I still use IDR?
Generally, IDR applies to out-of-network encounters. If you are in-network but believe the carrier has underpaid in violation of your contract, that is a different dispute — typically pursued through the contractual dispute resolution process or litigation. We can advise on both.
My claims are more than a year old. Are they still eligible?
Under the New York Surprise Bill Law, the filing window is three years from the date of service — one of the most provider-favorable features of the state law. Claims you have written off as uncollectable may be entirely viable. Under the federal NSA, the deadline is far shorter — generally 4 business days after a failed 30-day negotiation — so timeliness on federal claims is critical.
What is FAIR Health and why does it matter?
FAIR Health is an independent nonprofit that maintains the largest database of private health insurance claims in the United States. New York's IDR process instructs arbitrators to consider the 80th percentile of FAIR Health billed charges as a benchmark — meaning the amount that is higher than what 80% of physicians nationally charge for the same CPT code in the same geographic region. This benchmark is typically several multiples of what the insurer paid, which is why New York state IDR outcomes are so favorable to providers compared to the federal process.
What types of insurance plans are NOT covered?
Government programs — Medicare, Medicaid, TRICARE, and Veterans Affairs benefits — are excluded from both the NY state and federal surprise billing laws. These programs have separate payment structures and dispute resolution mechanisms. The IDR process applies exclusively to commercial insurance claims.
What is the difference between fully insured and self-funded plans?
A fully insured plan is one where the employer pays an insurance carrier (Aetna, United, Cigna, etc.) to assume the risk and administer the plan. These plans are regulated by New York State and subject to the NY Surprise Bill Law. A self-funded (ERISA) plan is one where the employer bears the financial risk directly, typically using an insurer only as a claims administrator. Self-funded plans are regulated by federal ERISA law and are subject to the federal No Surprises Act — not the NY state law. The practical difference is the benchmark used in arbitration.
What happens if we win and the insurer refuses to pay?
For federal NSA awards, CMS has enforcement authority and we can file a complaint with them. A 2023 survey found that only 52% of NSA arbitration awards were paid on time — post-award collection is a real issue that requires a law firm, not a billing service. For NY state IDR awards, the award is enforceable in court. We handle both enforcement avenues and will not close a matter until payment is received.
How long does the arbitration process take?
Under the NY state process, the IDRE issues a determination within 30 days of receiving the complete submission. For federal IDR, the IDR entity must decide within 30 business days of selection. Many cases settle during the open negotiation period before arbitration commences — sometimes within weeks. From initial claim review to final payment, most NY state claims resolve within 2 to 5 months. Federal claims with enforcement issues can take longer.
Can multiple claims be submitted together?
Yes — and batching is a significant efficiency advantage. Under the federal NSA, claims may be batched by payer, CPT code, and time period. For high-volume practices — radiologists, pathologists, anesthesiology groups — batching can dramatically reduce the per-claim cost of arbitration and increase administrative efficiency. NY state IDR also allows for consolidated filings in appropriate circumstances.
What does it cost to work with Madison Law Firm on this?
We handle surprise billing arbitration on a pure contingency basis. There is no retainer, no hourly rate, and no upfront cost of any kind. We are paid a percentage of the recovery above your initial insurer payment. If we do not recover additional compensation, you owe nothing. We begin with a free accounts receivable review to identify eligible claims and assess the potential recovery.

Start With a Conversation.
We Review at No Charge.

Schedule Your Free Accounts Receivable Review

Tell us about your practice, your specialty, and your approximate volume of out-of-network commercial insurance claims. We will conduct a no-obligation review of your accounts receivable to identify eligible claims under both New York state law and the federal No Surprises Act, and provide a candid assessment of the recovery potential.

There is no cost to this review. There is no obligation to engage us. And if we do take your matter, there is no fee unless we recover.

Address
579 Fifth Avenue, 2nd Floor
New York, NY 10017
Hours
Monday – Friday, 9:00 AM – 6:00 PM
After-hours by appointment

Free Claim Review Request

Complete the form below. A member of our healthcare arbitration team will respond within one business day.

Confidential. Protected by attorney-client privilege from the moment of your inquiry. No obligation. No fee unless we recover.