Why outsource medical billing?

January 31, 2012: Medical bill outsourcing has now become a popular practice among healthcare providers. It helps them to focus on their core business, while outsourcing rest of the supporting activities. Medical billing can be outsourced to a specialist freelancer from home or a third party company who specializes in medical billing.

Following are the reasons why doctors outsource their medical billing activity:

  1. Outsourcing saves time

    The process of medical billing is time consuming and requires lot of effort. So outsourcing this activity can relieve you of huge burden. This will give enough time to take care of the patients. With the increase in pressure to reduce cost, attending to more number of patients have become important.

  2. Outsourcing will save resources

    In the case of small clinics, the employee may not be in a position to concentrate only on billing or in other cases may not possess the required expertise. In the case of clinics that do not outsource, it will be difficult for you to have a single employee who will handle both medical billing and other clerical duties. So outsourcing of billing will relieve the employee to focus on other areas of running a clinic.

  3. Outsourcing reduces rejected claims

    While performing medical billing in-house, there are high chances of errors. This may result in rejection of claims which again becomes a burden. So outsourcing billing to a third party who specializes in billing will help in reducing the errors and thus saving revenue in rejected claims.

  4. Outsourcing adds security

    Financial frauds in most of the cases occur from inside the organizations. So if medical billing is outsourced, the service provider will have an eye on the finances of the firm which checks the financial statements, which you or the employees will not be able to do due to lack of time and ability. In case of any irregularities arise in the finances, the service provider have greater chances of spotting them.

  5. Outsourcing makes the receipt of money fast

    In the case of clinics with limited resources, it will be impossible to employ a number of staffs to focus on billing. This gets converted to longer time for submitting the claims and as a result your money gets delayed. Outsourcing helps in submitting the claims quickly and thus revenue comes in quickly. 

  6. Outsourcing improves the business

    An experienced third party service provider of billing can be considered as a valuable business partner. It not only sends claims, but also provides reports, which explains the financial position of the clinic.

  7. Negotiating with insurance carriers

    The medical billing firm will give you needed inputs which will help you to negotiate with insurance carriers. It will give you an added advantage during negotiations.

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