Addressing These Medical Billing Challenges Could Improve Practice Revenues
Any medical practice depends upon its medical billing in order to generate revenues from the services rendered. Medical billing challenges can inhibit a practice’s ability to collect money owed, which can hamper the practice’s ability to grow and potentially put the practice in jeopardy. Understanding common medical billing challenges can help practices to solve them before they affect revenues.
Incomplete or Inaccurate Patient Information on File
If a patient’s correct insurance information and personal information are not on file, it can result in claim denials and make it more difficult for a practice to collect any money owed by the patient. It is very important that practices ask the right questions in order to collect all needed patient information. After this information is collected, it should be verified and input into the medical billing system immediately.
Failure to Provide Patient with Accurate Quotes for Services
Changes in the health insurance landscape have resulted in a huge shift towards insurance plans with higher deductibles. As a result of this shift, patient responsibility for medical bills is often higher than it was in the past.
Unfortunately, many practices have failed to adapt to this shift and provide accurate quotes for services based on the higher deductible amounts. When patients receive bills that are much higher than what a practice quoted for services rendered, patients are generally less likely to pay the bill promptly.
By taking the time to research what different insurance providers may pay, figure out what patient responsibility will be, and train front office staff to provide quotes accordingly, it may result in better collections. Bills should also be easy to read and closely reflect the way that a quote was given.
Patients that can rely on a practice to provide accurate quotes and not surprise bills will be more likely to pay their bills – and also to stay loyal.
Inefficient Claims Management Processes
Filing health insurance claims is a complex process that is constantly evolving. Relying on an inefficient claims management process can result in more denied claims while wasting staff time. Inefficient processes usually involve manual medical billing or outdated automated systems. Claims management processes can be made more efficient with outsourcing or medical billing software.
Medical Billing Errors
Medical billing errors are a common reason for claim denials, but can also make a medical practice more likely to be flagged for an audit and possibly cost a practice money if claims have been paid for codes that turned out to be erroneous. Since many codes have recently changed and there is now a much larger catalog of codes to be applied, automating medical billing can help to ensure medical billing accuracy.
Implementing medical billing software can help a practice to overcome many billing challenges. If you feel that medical billing software could benefit your practice, contact us today.