Outsourcing the revenue cycle management is one of the best ways to avoid the high cost of staff turnover. The high cost of turnover exacerbates the healthcare industry’s consolidated revenue. As a result, medical practices and healthcare organizations face a troubling revenue outlook. But the revenue cycle management companies help you deal with ever-escalating costs. This includes COVID-19 pandemic-related expenses such as additional equipment and sanitizing measures.
The patient volume for elective procedures, preventive and routine care remains lower than the pre-pandemic average. Meanwhile, patients impacted financially by the pandemic often struggle to pay for their portion of care.
The revenue getting squeezed takes a significant toll on the bottom line. One particular driver exceeding the negative rebuke trend is the high staff turnover rate. Now it comes at a steep cost to healthcare-related firms.
Increase in claims paid after submission
Successful medical revenue cycle management puts a heightened focus on completing front-end tasks. For example, you can ensure claims get paid the first time they’re submitted. These front-end tasks include insurance verification, the collection of accurate and proper coding.
On average, five to ten percent of claims get denied after their first submission. But, most of these denials are due to human error and technical problems. These may include errors in coding and insurance verification or missing information in the patient’s chart.
If claims are denied, they can go back and forth between insurance companies and providers for months until all issues have been resolved. The best way to avoid these costly delays is to guarantee the claims are accurate before they are submitted.
Increase in practice collections and revenue
Healthcare facilities offer a multitude of expenses to account for. Not only do they have to pay for the services they provide to patients, but they also have to pay their staff for the work they offer.
If claims get denied, patients cannot pay for services upfront, the healthcare facility’s payments are delayed. This happens to be challenging for the practice to manage their expenses.
To avoid this, revenue cycle management companies help practices uncover patterns of claim denial. By recognizing these patients, a business can now work to prevent claim denials in the future. Currently, healthcare debt collection helps receive timely reimbursement.
Improved patient experience
With a greater focus on patient outcomes, adequate revenue cycle management improves the patient experience. Patients can expect they receive more comprehensive and targeted healthcare, reducing their likelihood of remittance.
Revenue cycle management companies also simplify processes like scheduling, filling out intake forms and billing to create a more satisfactory experience for both patients and administrative staff.
Decrease in administrative burden
If a patient makes an appointment, the administrative staff is now responsible for scheduling the appointment, establishing or updating patient information, and verifying their insurance. In the revenue cycle management system, the front-end tasks are streamlined so that administrative staff can now work efficiently.
Besides, the revenue cycle management companies ensure that these administrative tasks are completed accurately; as a result, claims aren’t denied in the future.
The benefits of revenue cycle management are plentiful, affecting both healthcare providers and their patients. Now, healthcare providers can trust RCM to decrease the burden of their administrative tasks. Moreover, this increases your collections and revenue.
If you’re wondering how an organization can enhance revenue cycle management, our experts can help you. But, to ensure they experience all the benefits, you need to choose a partner with a strong business presence. So now, focus on what you do the best to provide quality healthcare to your patients.