Maximize Healthcare Practice Collections with a Patient Payment Policy

Healthcare owners and managers of the practice are often surprised to realize that can cost as much as $ 6 or $ 7 to meet with success to a patient by paying bills via traditional mail. Taking into account the time spent, as well as postcards and envelopes, the cost really adds to send dozens of bills each week. The hours spent preparing the bills also detract from other initiatives around the office - valuable time that could focus on improving the flow of patients, records management, etc. - not to mention that most of the patients are sent to two or even three bills before his return payment. The establishment of a formal policy of paying with their patients can help improve collections and reduce practice overhead.
Designing a patient payment policy in devising its policy of payment, spend some time talking with his staff, the person responsible its billing and colleagues from other practices. These resources often provide direct feedback from personal experience about what works and what does not. Consider the story of her practice in defining how far you should go with its policy of payment; vary from one locality to the next with respect to age, economic status, etc.. In some areas, a written statement that insurance and accepting that " payment is due in full at the time of service " might be satisfactory. Other areas may require detailed information on payment plans, the minimum payments and the use of collections agencies to establish the proper expectations.
Just remember to keep it simple. The simplest policy, the more effective it will be. Be upfront about their rules are clear on how you will handle non-payment, and direct execution. Too many practices have discovered the hard way is much easier to give a clear written policy in advance than it is to calm a patient shaken down when asked to transfer a large payment in the spot.
A The Few Considerations more simple, direct payment policy would require all obligations are fulfilled patient at the time of service, but that& 39;s not always an option. What about patients who " " forget your checkbook? What about those patients who do not have enough money to cover an expensive procedure? Here are some options you might want consider.
Invoicing Charges Some practices offer patients send invoices in lieu of payment in the office, but adds a charge " " billing by mail to each statement. These charges are often anywhere from $ 1 to 5 dollars a statement and help defray some overhead, but rarely all the same. While charging the fees can be effective for patients to receive payment with the first bill may reflect negatively in a market saturated with fierce competition between the practices, not to mention the new practices dealing to build a patient base.
Payment plans payment plans can be a good alternative for patients who are unable to meet all obligations at the time of service parameters are detailed but an imperative. Note that payment plans in the long term also increase the risk of default. Some practices have found the best approach is to limit terms to six months or less.
An example payment plan policy could establish a minimum of say, $ 100 due at the time of service, with the balance divided into equal instalments for the next 6 months. Or, you can divide the total balance in 6 monthly, with the first payment due at the time of service.
Regardless of how your payment plan is structured, should focus on two equally important goals. First, keep it simple to avoid confusion. Second, find a reasonable balance between the collection to the fullest extent possible in advance at the time of the visit and what the patient can bear. If patients are extended too far in advance, which may not be able to make all the payments during the next period, which in the worst case, for the whole world - default.
Interest most offices offering payment plans do not charge interest, but not a Inaudita of practice. Charging interest, as does the billing charges, it may be a negative factor in determining the competitiveness of markets and new practices. Charging of interest also requires more staff time to calculate bills before post, seldom compensate for the added overhead. Another important factor to remember with interest charges is adherence to the rules of the Truth in Lending Act. This can add several more layers of requirements for its practice of the administration, the creation of new agencies complications.
Collections unnecessary equipment with a collections agency can provide you with some recourse if patients fall into default, but carefully consider their options as collection agencies can charge anywhere from 15% to 50% in credits. Any such partnerships should be investigated thoroughly in advance, and is described in detail in its policy, including contact information for the agency for patients.
No Shows patients who do not show up for a visit without notice is, frankly, annoying and rude. But turnover can not turn away patients sample of future visits, not to mention that generally have a very low rate of credit. Thinking of billing is not shown, both to keep these points in mind, as overhead billing can give sufficient cause to write disable completely.
Alternate payment Consider offer the widest possible range of methods of payment. Recent years have seen a decline in the rate of credit card processing, which makes them even more appealing to practice patient with only moderate traffic. Credit cards can also be used for billing and monthly payment plans if it is presented a signed authorization. This will also help avoid the proverbial "check in the mail & 39;, and will know immediately if the post is rejected.
Communication Regardless of the parameters defined in the policy of his payment, the communication is the key to ensuring the smooth implementation. Remember that your office staff is in the forefront when it comes to dealing with the policy with patients and should be given clear instructions on all aspects. A large meeting room can benefit everyone, offering the opportunity for staff to ask questions before execution. Provide staff compared with a " internal " copy of the policy with suggestions on how and when to remind patients of the policy.
In transmission of the new policy to patients, a sign on the check counter stating " All obligations must be resolved patient at the time of service " is an easy first step. Secondly, create a detailed brochure outlining your policy and keep a stack visible in the waiting room, and during the first few months, each patient must have a copy of their brochure in billing. Front office personnel should advise patients when they call for an appointment and remind them verbally when on arrival. If the measures are necessary that each patient may require " sign an agreement on the policy payment " and to keep their practices records.
Some now even send a new package " Patient Information & quot; when an appointment is scheduled well in advance. This is an excellent opportunity to include billing policies with other information about his practice. Practices could also include basic information about suppliers, healthy living tips aimed at the practice of specialty, or information about how patients should prepare for an office visit.
Implementation Create your policy is the first step to improve collections pocket, but will only be effective Tan as its implementation and monitoring. Some minor adjustments to the procedures of the office will ensure this takes place successfully.
First, it will become standard procedure for staff to obtain pre-authorization from the insurance carriers - before the appointment, not only before a complaint. Create a list of steps related to the scheduling of a patient who visits include research co-payments, deductibles, visiting subsidies, etc. directly with the carrier. Although the validity of the permits can be made by phone, " self-serve " in line with many airlines is much faster. Common carrier websites might even be the favorites in workstations easily access.
Second condition of its staff to take the information on the validity of consents and obligations of the patient discussed in check. All parties must be fully aware of their responsibilities and hopes to advise patients how to be forwarded payment.
Third to ensure patients are not " " escape without paying everyone should be required to check out and as billing. All the members of his staff - doctors, nurses, auxiliaries, who was the last to visit with the patient - should remind you to stop by the cash receipt or on the road out.
Finally, reviewing the performance of your policy. Allow one to two weeks for changes to take effect and begin assessing the results. rmese detailed information on the collections of fees for the weeks and months prior to the amendment and compare against the weeks immediately following. Take note of what is happening around the office, to assess how the staff is managing the new policy and make changes as necessary. If something does not seem to be working, make sure it has enough time to fully measure the results, but do not be afraid to make another change. Remember, maximizing collections pocket is a permanent task, but if done properly can lead to significant improvements in their general practice profitability.
For more about managing your patient receivable management and medical billing visit http://www.DiversityTech. Comm. Diversity is a major medical billing practices of the company across the United States. You can also find more information about the medical billing industry in our Knowledge Center in http://www.DiversityTech.com/kc. sondra tracee



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