Posted by 1. Claims are not submitted on time
Professional outsourced medical billing experts understand the system and have a knack for delivering claims accurately and as quickly as possible. This ensures that you get your payments on schedule and you don’t have to wait for months to receive what is yours.
2. Coding problems cause rejection
Coding issues are one of the main reasons for claims being denied and consequently lost claims. Our outsourced medical billing services have first-hand knowledge of codes and filing procedures to ensure that all medical claims are not only filed on time, but are filed correctly.
3. Outsourcing helps bypass common hurdles associated with claims
A wide variety of challenges often arise when considering medical bills and submitting claims. Common issues that can result in claims remaining unpaid or forfeited include:
4. Patient information is inaccurate or not updated.
5. Claims are filed and processed in the wrong place.
6. Patients either cannot or will not pay and thus leave the company to inherit their liabilities.
7. Patients may be responsible for paying for services disclosed by their insurance. This leaves you, the doctor, doing many of the financial logistics, billing and follow-up.
8. Collection agencies can give your business a bad image and PR
While some medical organizations and institutions may choose to use collection agencies to recover their money from patients, it is necessary to note that these agencies can be detrimental to patient relationships and the company’s image and can cost up to 50 percent of the money collected. Outsourcing billing and medical claims can help you manage such cases effectively and ensure that your business is not on the losing side.
9. Cut back on unnecessary financial impacts on part of your business
Depending on the resources collected, properly prepared claims can take between 30 and 120 days to receive interest from insurance companies, Medicare, or Medicaid. Sometimes doctors are left with no choice but to borrow money for the direct expenses of the business while waiting for payments that may arrive in a matter of weeks, months, or even never come back.
10. Slowness in rejecting claims
As mentioned above, the rejected claims rate is 30 percent. Outsourced medical services have shown massive claims conversion and are proven to be able to reduce denied claims to an enviable 2%
11. Minimizing financial losses
With professionally handled medical billing, claims, and payments, your business can ensure that it receives monthly patient payments on time for the balances and liabilities your business owes at the time services are provided.
You can also collect old accounts receivable in lieu of a full forfeiture without spending legal costs or hiring a collection agency.
If you practice and get billed for patient visits, consultations, treatments, and any other medical services or products, you are likely aware of these obstacles. Sometimes, doctors don’t realize the enormous cash crunch that the cost of medical bills, forfeiture and dismissal of claims is piling up on in their business. On the other hand, outsourcing provides physicians with a way to leverage professional billing and medical claims services for their business to counter discrepancies that can delay, reduce, or completely prevent payments.
Right now, rejections are set at about 30 percent in the industry. Due to the volume of claims submitted and processed, even the smallest errors can lead to denial, and as such, it is essential to use outsourcing services to ensure perfection in the handling of medical billing and claims. According to Keith Borglum, owner of Management and Marketing, Santa Rosa, Calif., one medical practice reported a 71 percent error rate in the year that saw the company accumulate $185,000 in losses.
Outsourcing presents a plethora of opportunities to deal with and eliminate leaks in your practice stemming from medical claims, recording errors, dodgy patients or those who simply don’t have clear means of paying you to ensure you stay afloat in your medical practice. Unnecessary costs that can leave you confused.