Considering the massive overhaul the health industry is currently undergoing, the decision over whether, or not, to outsource your clinic’s medical billing may be something you have no choice but to consider. You may be discovering that your staff is now having difficulty keeping up with day-to-day routines, while also trying to keep current with an avalanche of complicated legislation, and expansive updates to medical billing codes.
For the longest time physicians were advised to keep billing “in-house” no matter what. But times they are a changing.
Where the cost efficiency of having your own AR department may have once been in your favor, the rapid influx of over seventeen million newly insured Americans might influencing you to consider a slightly different perspective.
The overall cost of outsourcing varies depending on which company you choose and the services they offer. Some companies may charge as little as 3%! However, it is important to do your research. Some billing companies operating in this low range hire inexperienced staff, and fail to follow up on claims in a timely manner. It is reasonable to expect to pay 15% -20% of your collection total for a reputable organization.
Some of the benefits to outsourcing include being able to reduce staff, and employee turnovers. Medical billing is complex, and intricate work that requires a high level of skill, and the ability to pay attention to detail. It can also be incredibly boring for many workers, and people who have attained these skills tend to transition frequently. Let someone else take care of employee turnover rates for you!
Another upshot to outsourcing is that now someone else is handling your billing, and the number of inbound calls to your office will be dramatically reduced, leaving your staff free to address other concerns of day-to-day business like focusing on patient needs.
Unless you have an expansive practice large enough to make having your own billing staff a cost effective requirement, it will cost you much less to outsource your billing. Considering your staff, and office space are both fixed expenses that will only increase over time. By outsourcing, your billing expenses will fluctuate to mimic the amount of claims collected on.
Finally, let’s return to those seventeen million patients now being covered under the still evolving Patient Protection and Affordable Care Act. There are still many wrinkles to iron out with new rules and legislation. Save yourself, and your staff the time, energy, expense, and headaches keeping up with the ever-changing policies. That’s what a good billing company, with qualified staff will be able to do for you, further cutting down on billing expenses.
For the most part it appears that outsourcing medical billing is on the rise for many practices. Just make sure you do your research and hire a reputable company, and continue to keep your finger on the pulse of management.