Collection shortfalls, high claims rejections and non-compliance issues are three good reasons to partner with a Revenue Cycle Management company for medical billing and collection, according to article from the Healthcare Business Management Association*.
The article goes on to state “Most physicians are working harder and taking home less due to declining reimbursements and the high cost of collecting on a claim.” Partnering with an RCM company just makes good business sense.
The HBMA cites four reasons why outsourcing can have a positive impact on a practice:
- Regulation and Education: Keeping up with the ever-changing regulations is a full-time job in itself for billing managers. It is very difficult for your staff to keep up with compliance issues and maintain timely billing and collection follow-up.
- Cost Management: Why reinvent a costly wheel? By using an RCM company as a resource, you will benefit from a dedicated focus by a team of certified and trained billing representatives, state-of-the art technology and compliance software that has already been created and tested to proactively manage your billing.
- Business Management: The biggest problem facing most practices is poor follow-up on unpaid claims resulting in lost revenue. An RCM company conducts follow-up on a regularly scheduled basis so revenue is not lost due to lack of follow-up or “timely filing” requirements.
- Compliant and Competent Workforce: It is challenging to find and keep competent billing representatives. The cost to recruit, hire and train a new employee is at least $4000, according to the Society for Human Resources Management. Then, there are the payroll costs, benefits, paid vacation time (time lost to billing) and other related costs. If that person leaves your practice, you have to start over. Partnering with an RCM company minimizes these costs and keeps the entire revenue cycle processes moving 52 weeks a year.
Billing is no longer a part-time job that can be fit in between taking blood pressure and scheduling appointments. To ensure your profitability and compliance with government regulations, you owe it to your practice to meet with a RCM company to see how these services could actually pay for themselves.
Contact AssuranceMD to discuss our performance guarantee that our services will pay for themselves.
*Source: HBMA, 1/22/16, “Why Doctors Should Outsource Their Billing, Dave Jakielo