- Delisa M
- Comments 0
Accurate Medical Billing and Coding will Increase your Cash Flow
Medical billing and coding policies often changes and have affected the cash flow of medical practices throughout the USA. Medical billing and coding is no doubt very important in the healthcare industry, especially with increasing cost and decreasing reimbursement afflict most healthcare practitioners. It has also been observed that the changes in the medical billing and coding brought new challenges for Medical providers, and it is now much more difficult for practitioners to remain independent in this challenging economy. The research shows those medical providers in United States bear a loss of $100 billion plus every year due to lack of quality in medical billing process.
As a result, it is very much needed to find simple and inexpensive ways to streamline medical billing and coding processes and make them clear. At the same time, due to limited resources and their small sizes, most practitioners often lag behind when it comes to keeping up with the latest medical billing and coding.
Here are some elements for successful Medical billing practices, that if implemented will increase your cash flow.
Know Why the Claim was Denial
You should better know that what caused your medical claim, before you start your denial appeal. Your explanation of benefits (EOB) can provide you with an explanation by using codes. Most EOBs will even give you a key to these codes, so you can determine what they mean if you are unsure. You can contact the Payer that denial you and ask them yourself about the causes and errors, if you are still not sure. It is your right to have this information, so get whatever information you need to find out the source of the problem.
Error free Claims Submission
Medical billing and coding errors accounts for 80% of medical claims denial. Insurance companies will deny the claim if it contain errors, and they follow strict coding practice. Even minor errors will not acceptable and result in claims denial. Medical practices should have an efficient and update billing system in place. You can outsource your medical billing or keep it in-house. If you prefer in-house medical billing and coding, then it is necessary to focus on the processes that are implemented and adequate steps are taken to ensure the patient get the best services. It is also important to know that your cash flow is directly connected to your patient satisfaction with your services. You should follow
Proper billing methods
Claims submission on time
Reliable compensation through insurance provider
Denial Management is an element to a healthy cash flow, and successful Revenue Cycle Management. Medical practices should have a strict claim checking process so you get paid in the short time. Approximately 30% of the medical revenue left on the table by Medical practices, due to billing errors. Claims rejections should be sorted as soon as possible. A good billing company should have a process to sort the rejected claims.
Use Electronic Coding, Billing and Reimbursement Solutions
Medical Billing and Coding is under critical observations of payers nowadays due to billing and payment errors and also overpayment errors. As a result, simple and inexpensive methods might not always work because of the human errors involved. Payers also often change their billing and coding requirements due to which medical practices need to be efficient when submitting bills.
Clean claim rates and reduced payment related errors, all effect your cash flow directly. Some of the other benefits to use electronic medical billing and coding techniques include:
Reduced payment processing time
Reduced denial rates
Better reimbursement rates
Reduced errors while coding
Improved compliance to federal guidelines and regulations
Reduced overhead cost
Line up your Collection Procedures
The time spent in your office making collections strategies effect your business cash flow. Manual collections need a lot of paper work, hard copy mails and staff overtime, each of this will reduce your daily profits and increase your hurdles. Your office employees should focus on the other important aspects of the work, such as taking care of the patient and communicate with the patients in a good environment.
Create a team to perform collections and provide them with the latest software and technology to keep track of pending collections
Follow up with the customers only when you feel that they are not going to pay up
Make sure that your employees are good at payment collection and work along with the patients as per guidelines
Hire a professional company to help you out with debt recovery, account maintaining services, secondary placement services, and skip tracing absconding customers
Outsource your Medical Billing and Coding
It is very important to outsource your Medical Billing and Coding for improved and better financial performance while reducing employee recruitment hassles and also cost. Once you choose your service provider, it is only a matter of time before you can start getting the benefits of outsourcing, it includes
Reduced cost of maintaining high-end software and equipment
Reduced call volumes
Elimination of hiring and training costs
Ability to focus on patient care
Elimination of "non-medical" office space for better organization
Lesser negative effect of worker turnover
Outsourcing not only helps you keep a tab on all the insurance providers, but also gives you the spare time to pursue overdue balances.