Address Common Medical Billing issues to Improve Your Practice Revenue Cycle
Medical billing is at the core of the healthcare revenue cycle, yet many healthcare providers find it challenging to efficiently and accurately bill patients and payers for services.
Medical billing is a struggle for many medical practices, because it involves many healthcare stakeholders, with each step towards payment relying on accurate interactions. Medical practices need to communicate across departments and payers to ensure information is accurately captured in each step.
Accurate medical billing is vital for optimizing the healthcare revenue cycle and reducing the amount of days bills sit in accounts receivable.
Discover three of the most common medical billing challenges and some tips you can implement at your medical practice to get paid faster and accurately.
Lack of Patient Information
Failing to capture patient information can lead to claims reimbursement delays. The medical billing process begins at the initial appointment or visit. Before the actual doctor visit, it’s vital the front staff collect patient information that lays the foundation for proper billing and collections.
Your front staff will need to confirm a patient’s demographic information is accurately put into the medical billing system, and that they verify health insurance status and coverage prior to the visit.
A ClaimRemedi survey found that insurance eligibility issues are the top reason for claim rejections, and eight percent of claims that are submitted are rejected because of eligibility problems.
According to the survey, healthcare providers were not asking patients and insurance companies the correction questions around eligibility, which caused an increase in denials and claim rejections.
It’s vital that your staff check a patient’s eligibility at each appointment, not just the initial one as insurance coverage can change.
Failing to Accurately Inform Patients
Patients now take on an increasing amount of financial responsibility. Almost 90 percent of the 12.7 million people participating in the 2016 open enrollment period chose high deductible plans, according to CMS.
As a result, patients may not be prepared to cover the cost of medical bills. To help increase patient revenue, your practice can initiate financial policies to help patients understand their financial responsibility. Provide service cost estimates that inform patients of how much they will owe.
Simplifying patient bills can help as well. The Department of Health and Human Services addressed reports that medical bills were too confusing due to medical jargon and too many requests for payments.
Errors in Medical Coding
The top medical billing error is still medical coding. Something Parasol Medical Billing can help you with. The American Health Information Management Association (AHIMA) found the top coding challenges:
- Incorrectly applying the seventh characters for trauma and fracture codes
- Improperly using procedure codes that drive a diagnostic related group
- Misidentifying respiratory failure
- Mistaking the use of guidance tools
- Insufficiently documenting devices, components, and grafting materials
Don’t let these medical billing errors cost your medical practice valuable revenue. Outsource your medical billing to Parasol Medical Billing. Our billing and medical coding services will help you optimize your revenue cycle and grow your business. Contact us to learn more today.