We can count on the cost of providing quality medical care to continue to rise even while having to face forces that lower reimbursement to providers in the healthcare industry. It is easy to get caught up in the day to day operations of your medical practice management and lose your focus on the financial health and trajectory of your practice. Take some time every month to examine the bottom line affect of the systems that are in place in the office. Try to be objective as you review your own routines and habits as well as those of your staff. What follows is a non-exhaustive list of areas to consider as well as suggestions on some steps to take to increase profitability.
Examine the Revenue Cycle
There are a number of steps between collecting a patient’s insurance information and closing their account as paid in full, each of which can have an affect on a medical practice’s net income. Each month, take a look at the overall revenue cycle to insure there are no obvious snags or bottlenecks that could slow the flow of income. Then, each month, decide on a particular element to delve into further. It could be a review of the insurance verification procedure or the process for resubmission of denials. Sit down with the person responsible and ask them to walk you through their task. Encourage their input and work together to fix problems and implement new ideas.
Use of proper coding
Coding errors and under coding are often primary causes of income loss in medical practices. Proper coding speeds and maximizes reimbursement while reducing costly and time wasting payment denials. Make sure that all providers and relevant staff are up to date on coding changes.
Outsource your Medical Billing
One sure and quick way to increase your medical practice income is to hand the medical insurance billing to a professional billing company. Customers of ProMD Practice Management’s billing services enjoy collection rates in the high 90’s.
Most medical practices do not have the manpower to achieve the results of a dedicated billing company.