Due to the rise in high-deductible plans, patients have been faced with expensive medical bills, and in numerous cases, these patients are not prepared to pay their medical bills. Discovering new ways to improve medical billing collections should be a priority for medical practices and clinics.
When patients do not pay the amount due for a procedure or service, your practice’s revenue cycle is at risk. Patient co-pays make up approximately 20% of a medical professional’s revenue. However, according to a 2010 study conducted by the Medical Group Management Association, most doctors only collect 60% of their patients’ co-pays.
Once doctors realize their medical billing is insufficient, they understand they cannot afford additional revenue loss through ICD-10 coding errors and Meaningful Use requirements. This is especially true for practices with a small operating budget.
Unfortunately, the over-arching issue of patient payment will not likely be resolved soon, so patients will either have larger co-pays for each office visit or be forced to spend more out of pocket due to their policy choice and accompanying higher deductibles. As a result, medical professionals need to assess their current procedures and determine the most effective way to collect patient co-pays.
Train Your Staff To Collect The Money
Collections begin with your office’s front desk; therefore, it is essential to have your staff trained to collect payment before a medical professional sees the patient. Ensure the payment policy is clearly stated using numerous signs around the waiting room. Likewise, when any staff member calls the patient to confirm the appointment, they should also mention the balance due.
Furthermore, available payment options should be provided and discussed with patients. Your staff should clarify that patients are expected to pay the balance before their next appointment or when they arrive for their next appointment.
Be Transparent About the Prices
One of the foremost reasons service providers have difficulty handling medical bill collections is that patients are uninformed about the cost and have not budgeted for this expense. You must be transparent about the prices and the procedure costs, so patients have the appropriate information to determine if they can afford the treatment. Furthermore, have staff request insurance information and check the patient’s plan covers that service before the appointment is confirmed.
Use Medical Billing Software
To avoid further collection issues, ensure your medical billing software can meet your needs. Medical billing software can help streamline your fund’s collecting process and track all past bills and payments.
Provide Payment Options
Undoubtedly, many patients would like to pay for their services outright; however, they do not have the financial means to do so. When you offer various payment options to outstanding invoice patients, you can slowly pay the bills in installments. Giving your patients options to alleviate their financial stress and help guarantee full repayment for your services is beneficial.
Provide Easy Payment Methods
If you want patients to pay their bills promptly, you must make the payment process easy. For example, if you let patients pay using a debit or credit card, the funding you receive will increase, as most people prefer paying using their cards, and this method is nearly immediate. However, customers who pay with a check may experience issues regarding timing, and keeping cash on hand can be risky. Similarly, accepting and processing payments like Health Flex Accounts or medical credit cards may make your practice more marketable to a broader patient base. 
Easy payment methods ensure you receive payment and leave a few outstanding patient bills.
Incentives for the Billing Staff
Recognize that collecting past due payments is not a pleasant activity, and it can become frustrating and tiring for staff. Offering incentives and keeping your staff motivated to collect outstanding payments is vital to ensure they are satisfied and are willing to perform the task efficiently.
Track and Manage the Results
You cannot improve billing conditions without tracking the results and reacting appropriately. It is essential to make reviewing billing and collections a habit each month to see which methods, software, and processes are effective.
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.