Top 10 benefits of outsourced billing services
Benefits of outsourced billing services
- Eliminate billing and coding errors
- Meet compliance standards
- Boost productivity
- More time for patient responsibility
- Outsourced billing saves money
- Safeguard patient data
- Improve cash flow
- Verify patients’ insurance eligibility
- Increase revenue
- Optimize revenue cycle management
Billing and coding are essential services for the modern healthcare provider. Yet, managing medical bills remains a tedious and time-consuming process.
Accuracy in billing requires knowledge and expertise in medical codes that go along with it. Without it, medical bills would come out with errors, which could affect the quality of service you give to the customers.
Outsourced billing services are no longer just an option for healthcare businesses. This is because you would need help not just with manpower but with the compliances that go along with it.
If you rely on in-house teams, your medical business risks lagging. With several medical billing services in place, you can confidently take on competitors.
What are outsourced billing services?
Outsourced billing services are the use of an outside company to provide billing and other administrative functions for a business.
These services can be helpful for companies that want to focus on their core competencies and maximize their efficiency. They’re also useful for companies too small to have the resources to manage their billing operations.
What is outsourced medical billing?
Medical billing is the process of sending invoices to insurance companies, government agencies, and patients in order to receive payment for services rendered.
Outsourced medical billing services are services that allow companies to outsource the billing work to a third-party billing team so they can focus on their core business. Outsourced medical billing services handle all aspects of the billing process for you.
As with any type of outsourcing, some risks are involved when using outsourced billing services. But the benefits outweigh the negatives.
Why businesses outsource medical billing
Below are the major reasons for embracing outsourced medical billing.
1. Eliminate billing and coding errors
Without a dedicated, full-time team for billing, your practice is more prone to errors during claim submissions.
When such errors are made, they are pushed into rejections or denials. Your healthcare business could be staring at unimaginable losses.
Why not cut out these errors by outsourcing your bills?
Medical billing companies have experienced, fully-trained medical billers who specialize in the billing process and coding.
The billers are always accountable and ensure accuracy and on-time submissions. They will review and edit claims before forwarding them to the payer.
2. Meet compliance standards
Government regulations in the healthcare industry constantly change. Sometimes, it might be challenging to keep up with the required standards if you manage your medical billing operations.
The Health Insurance Portability and Accountability Act (HIPAA) lays down the rules on how medical entities can use personal health information.
An outsourcing company is likely to be familiar with such compliance needs. When you work with them, you can rest easy knowing compliance will be integrated into all your practice’s operations.
3. Boost productivity
Third-party billers have more tools at their disposal to tackle medical data compared to your in-house team. They can effectively handle patient and staff databases and reveal patterns that can increase your productivity.
Outsourced billers also have the skill to manage and handle many bills at a go. You can, therefore, expect quicker collection and resubmission of claims.
4. More time for patient responsibility
By outsourcing bills, your practice can focus on core functions like patient care and treatment. Since medical services are the primary responsibility, it makes sense to devote more time to them.
Besides, in-house staff will improve their specialization on health matters if they spend more time attending to patients.
In the end, your healthcare business can provide quality patient care while the outsourcing company effectively handles medical billing.
5. Outsourced billing saves money
The primary reason for outsourced medical billing is to save money. Through outsourcing, healthcare providers cut direct costs on salaries, training, furniture, office supplies, and billing-related requirements.
Your practice also saves time and effort for printing, mailing, and keeping tabs on payments.
Companies like 123Employee hire billing experts who can help you compile your service fees so you do not have to spend time sorting through them.
6. Safeguard patient data
Personal data and information are always sought after by online hackers. Most healthcare providers have IT departments with savvy technicians.
But how effective are such technicians against well-organized groups of hackers?
Outsourced billing teams have the skills and experience of protecting sensitive data. Your IT team can focus on the hospital’s technology matters while the billing team works and protects the privacy of billing data exclusively.
7. Improve cash flow
It isn’t unusual for patients to lag in their payments. Such situations can significantly hamper the daily running of your practice. You could employ more staff to follow up on payments, but that move will increase your overhead costs.
With outsourced billing services, you won’t encounter these issues.
Medical billing companies send timely payment reminders to customers. In doing so, they maintain a consistent cash flow for healthcare providers.
8. Verify patients’ insurance eligibility
Medical billing companies can help your practice verify insurance eligibility for patients automatically.
You don’t have to waste resources on manual insurance checks. Outsourcing firms will display the insurance status instantaneously.
You can instantly know whether a patient has met a deductible, covered things, and any pre-authorization needed from the information.
9. Increase revenue
Outsourced billing services can market your healthcare business by adding advertising messages to bills. This form of trans-promotional marketing is more effective since many individuals read medical bills.
You can market anything—from medical events to innovative vaccines to reminders and offers on treatment. Advertising through medical bills allows you to target a specific group of customers.
10. Optimize revenue cycle management
Most importantly, outsourced billing services can help you optimize your revenue cycle management without shelling out additional resources in-house.
Understandably, monitoring your entire revenue cycle can be taxing on your part since it includes multiple moving parts. Having a dedicated staff to do this for you at a fraction of your cost can help you focus on your practice and optimize this function through them.
Outsourced medical billing from experts
Working with experts lowers the risk of denials on claims submitted. And you only get such professionals in outsourced billing companies.
Such companies recruit the best billing and coding experts. They spend vast amounts of money training and educating the mentioned individuals.
In-house billers fall short when compared to experts. Most in-house billers are less equipped with emerging insurance policies.
It will also be a gruesome experience if regular health practitioners juggle between administrative duties and patient treatment.
Don’t wait till your account receivables are affected by late payments. Outsource your billing processes and enjoy the benefits listed above.
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