Basis of Presentation and Summary of Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2014

Basis of Presentation and Summary of Significant Accounting Policies

Schedule of allowances for doubtful accounts

Estimated liability for appeals and estimated allowance for appeals (in thousands):

Balance, December 31, 2012	$	34,426
Provision	41,076
Appeals found in providers’ favor	(19,711		)
Balance, December 31, 2013	55,791		*
Provision	14,124
Appeals found in providers’ favor	(27,673		)
Balance, September 30, 2014	$	42,242	*

*Includes $7,327 and $13,939 related to estimated allowance for appeals that apply to uncollected accounts receivable as of September 30, 2014 and December 31, 2013, respectively.

Allowance for doubtful accounts (in thousands):

Balance, December 31, 2012	$	830
Provision	718
Recoveries	(42		)
Charge-offs	(590		)
Balance, December 31, 2013	916
Provision	500
Recoveries	(17		)
Charge-offs	(420		)
Balance, September 30, 2014	$	979

Schedule of changes in Level 3

Acquisition related contingent consideration	(in thousands)
Fair value at December 31, 2013	$	945
Payments on contingent consideration	(428		)
Change in fair value of contingent consideration	17
Fair value at September 30, 2014	$	534