Menu

Billing and Collections in Healthcare

0 Comment

Billing and collections in health care is very crucial facet that will ensure that the medical facility does not run into losses. Today’s medical care providers rely on medical billing collections in order to keep patient and profitable practices. This because healthcare is taken as a very serious business and the physicians need to be on the look out if they are to remain afloat in this business. Faced with high cost healthcare malpractice insurance, office leases, expensive pharmaceuticals, lagging medical insurance, qualified clinical and administrative personnel, the 21st century medics require professional assistance to collect payments for the services provided (Walshe and Smith 28-30). The US healthcare providers need to ensure that they adhere to best practice guidelines when it comes to billing and payment. The Department of Health and Human Services released a report in 2011 indicating that $49 billion of medical debt is accumulated annually by the uninsured hospital patients. Due to the Affordable Act, by 2014 almost 20 million newly insured patients will enter the healthcare system. As a result, there would a greater onus on practices and hospitals to collect their balances outside the clinics (Walshe and Smith 57-58). To effectively address these situation healthcare providers can manage their billing and collection processes through the following: First, coming up with multiple payment options such as payments through an online web portal that accepts debit or credit cards, which ensures fast payment and removes the worry of safeguarding patient data. Patients can also utilize mobile phones for reminder messages and to pay bills. Secondly, encouraging advance payment through pre-funded accounts permits them to effectively plan for the payment. Thirdly, is keeping the costs of billing low by embracing paperless mode of billing and payments. Lastly, patent driven healthcare where the healthcare facility needs to ensure the security of their financial information. By having a secured online portal that protects patient’s financial data makes it easier and faster for healthcare provider to process payment (Phelps). According to (Beik 314) argues that a well run medical billing and collection services can significantly assist healthcare practice to run more effectively and efficiently by means of eliminating staffing issues, undisciplined medical billing and collection processes, outdated systems of medical billing, and archaic reporting tools which lead to poor collection ratios. Billing services can carry out numerous functions of the medical care practice including: preparation and submission of insurance claims. provision of data entry in relation to patient demographics, charges, insurance information, payments, and adjustments. tracking of payments that have been made by patients and third party payers. production of practice management reports. and collection of delinquent accounts (Bell 36). Some providers of health care outsource their medical billing services by hiring a separate entity in professional medical billing services. Billing service entities offer comprehensive, cost-effective, and Health Insurance