Running a private practice as a medical provider is no easy task. Ensuring that you get paid for the services you provide is only one component of private practice, but it’s one that’s vital. If you don’t get paid, it’s difficult to stay in business. Unfortunately, medical billing is a lengthy and complicated process that doesn’t always run smoothly.
Patients of medical services don’t typically pay in cash, in fact, they usually only pay a small copayment and their insurance covers the rest. In order to get paid by insurance companies, they have to be billed. Billing involves filing claims within a certain time frame while following a strict set of rules. For many private medical providers, billing in house isn’t always the best solution.
In many private practices, a lot of duties are divided up amongst a few employees. Adding billing as a responsibility to employees quickly leads to them to being overworked. Billing requires a certain level of knowledge and experience to be done properly, this can be difficult if employees are filling multiple roles. Hiring staff specifically to handle billing comes with training costs and costs of paying someone full time which isn’t always cost efficient. Thankfully, billing companies allow private medical providers to outsource their billing.
Outsourcing your medical billing is as simple as hiring a billing company to handle billing for you. Typically, billing companies earn their profit by taking a small percentage of your collections. While giving up a portion of your profit may seem ineffective, outsourcing can be considerable cheaper than paying a full time employee. In the end, outsourcing billing increases your cash flow.
Hiring a billing company ensures that claims are being filed quickly and frequently which means you get paid sooner and more often. Because a billing company’s only job is to handle billing, their employees are knowledgeable and experienced which reduces billing errors. Depending on the company, they may be flexible enough to work with your existing billing software or use their own.
By outsourcing your medical billing, you cut back on the stress of your employees. With someone else handling your billing, office space is freed up, fewer phone calls come in, and your staff is better able to focus on providing your patients with quality service. With outsourcing, you can have confidence in knowing that your billing is taken care of quickly and correctly.