1. Claims are not filed on time

Professional outsourced medical billing experts understand the system and know how to file claims accurately and as quickly as possible. This ensures that you receive your payments on time and do not have to wait months to receive what is yours.

2. Coding issues lead to rejections

Coding issues are one of the leading causes of claim rejections and consequently loss of claims. Outsourced medical billing services have first-hand knowledge of filing codes and procedures to ensure that all medical claims are not only filed on time, but are also filed correctly.

3. Outsourcing Helps Overcome Common Hurdles Associated With Claims

A myriad of challenges often arise when considering medical billing and claims submission. Common issues that can cause claims to go unpaid or lost include:

4. Inaccurate or outdated patient information.

5. Claims are filed and processed in the wrong place.

6. Patients are unable or unwilling to pay, thus leaving the company to inherit their responsibilities.

7. Patients may be responsible for paying for services not covered by their insurance. This leaves you, the doctor, doing a lot of financial logistics, billing, and following up.

8. Collection agencies can give your business a bad image and public relations

While some organizations and medical establishments may choose to use collection agencies to recover money from patients, it is imperative to keep in mind that these agencies can be bad for patient relations, company image, and can cost up to $1,000. 50 percent of the money raised. Medical billing and claims outsourcing can help manage cases like these effectively and ensure your business is not on the losing end.

9. Reduce unnecessary financial implications for your business

Based on the resources collected, properly prepared claims can take 30-120 days to receive attention from insurance companies, Medicare or Medicaid. Sometimes doctors are left with no choice but to borrow money to cover immediate business expenses while they wait for payments that may come weeks, months, or even never come back.

10. Rejection due to falling claims

As mentioned above, the rate of rejected claims is 30 percent. Outsourced medical services have shown a tremendous turnaround with claims and have demonstrated the ability to reduce rejected claims to an enviable 2 percent.

11. Reduce financial losses

With professionally handled medical bills, claims and payments, your business can ensure that you receive monthly payments from patients when due for their outstanding balances and obligations due to your business at the time services were rendered.

You can also collect old accounts receivable in lieu of outright seizure without incurring legal fees or using a collection agency.

If you have been practicing and billing third parties for patient visits, consultations, treatments, and any other medical services or products, chances are you are already familiar with these obstacles. Sometimes doctors don’t recognize the enormous cash crunch that the cost of medical billing, forfeitures, and claim denials pile up on their business. Outsourcing, on the other hand, gives physicians a way to use professional billing and medical claims services for their business to offset discrepancies that can delay, reduce, or avoid payments altogether.

As of today, rejections are capped at around 30 percent in the industry. Due to the volume of claims submitted and handled, even the smallest errors can trigger denials, making it imperative to use outsourced services to ensure seamless handling of billing and medical claims. According to Keith Borglum, owner of Management and Marketing, Santa Rosa, CA, a single medical practice posted a 71 percent error rate in a year in which the company posted $185,000 in losses.

Outsourcing presents a plethora of opportunities to handle leaks in your practice stemming from medical claims, filing errors, evasive patients, or those who simply don’t have a clear means of paying you money to ensure you stay afloat in your medical practice and eliminate costs. unnecessary ones that can leave you running at a loss.