28 Aug Why Tracking Accounts Receivables is So Important in Medical Billing?
In medical billing, carriers often tell practices that their claim is ‘not on file’, even though the clearing house reports indicate that the claim was accepted electronically by the payer. In addition, internal billing staff are often troubled with problems like –
- inability to touch every claim or patient on the monthly insurance aging report
- inability to appeal to or resolve rejections timely
Both these can prevent any medical practice from maintaining a consistent cash flow as well as cause revenue leakage.
Fortunately, this can be prevented by having a dedicated team of Accounts Receivable management experts. Since a busy practice may not be able to have in-house staff working exclusively towards tracking accounts receivables, many practices outsource this task to professional billing and revenue management services. They check every outstanding claim by consistently working payer accepted/rejected reports, calling payers or checking online for claims status and acting on findings.
Here are a few questions that can help you understand whether your practice is financially stable.
- Are your payers consistently paying your claims? (given your negotiated contractual rates)
- Are your claims being transmitted and accepted by the payers timely?
- Are claim rejections resolved as they are received or does your staff wait for the Electronic Remittance Advise (ERA)?
- On an average, how long does your practice take to collect a claim?
- Do you know which types of prevent this as an ongoing issue?
- Are your appeals being handled within a specific time limit?
- Is your billing staff using the appropriate payer appeal forms?
- Does your billing staff follow a protocol for credit balances?
- Do you regularly review your monthly reports?