Managing patient balances has always been a sticky subject for medical providers. Luckily, until recently, patient balances were not a significant part of a practice’s revenue. Now, with the increase in high-deductible insurance plans and out-of-pocket patient expenses, patient balances can be up to 30% of a practice’s revenue, and that is too large a number to ignore.
Consider these statistics:
When the average medical practice attempts to collect a patient balance upon check-in, they are successful 90% of the time.
When the average medical practice attempts to collect a patient balance at check-out, they are successful 70% of the time.
When the average medical practice attempts to collect a patient balance after the patient leaves the office, the collection rate drops to 40% and the practice has to send, on average, 3 statements to get it.
Revenue Cycle Management for the Modern Practice
In order to succeed in today’s healthcare landscape, practices and providers need a better strategy for addressing patient balances. Instead of spending valuable money, time, and resources on invoices and phone calls that are ignored 60% of the time, today’s practices need better tools for showing the patient what they owe over and above their co-pay and giving the patient choices on how they would like to pay. What’s more, this needs to be done at the time of service.
Through our strategic partnership with Exchange EDI, a healthcare cash management solutions firm, the Medical Consultants Group can help your practice cut costs and collect patient balances on time and in full.
Like many other businesses in America, your practice will ask to keep the patient’s credit card on file for any future balances. Exchange EDI will keep the patient’s information in a HIPAA and PCI compliant secured data vault.
When the patient comes in for any future visits, your practice will be able to query the patient’s insurance company and quickly get an estimate of what the patient will owe, over and above their co-pay. The patient can then choose if they would rather pay the balance in full using their card, or set up a payment plan administered by the credit card.
The practice doesn’t have to send invoices or make phone calls to chase patient balances. This system offers a way to collect balances that works for both your practice and the patient.
If you’re interested to see how much your practice is spending each month on sending patient statements, check out our Exchange EDI calculator.