What Keeps You Up At Night? (Part 1)
Healthcare in the U.S. now tops $3 trillion. More than ever before, its leaders continue to be challenged by issues crucial to their hospital’s financial stability and viability. In February 2017, health system CFOs listed the top issues confronting them and proposed ways to improve performance without making costly investments. This series of four articles will look at issues and solutions.
1. Patient Payments
2. Collections Losses
3. Claims Denials
4. Prior Authorization
Over the past 30 years, Hospitals historically received 90%
of their reimbursement from insurers. Today the ratio is closer to 70%
Many patients still don’t understand their benefits, co-pay/deductible or their even bill.
75% of late payers or non-payers were surprised and upset when informed of their co- pay/deductible obligation after they received treatment.
Healthcare payments are lower priorities for consumers than other bills.
Suggestions for dealing pro-actively with payment issues:
Use Medical Recovery Services’ Patient Liability Estimator© to assess a patient’s ability to pay.
Let them know their out of pocket obligation prior to treatment.
a. Discuss patient’s payment arrangements at that time.
b. Ask them to pay all or a portion of their estimated co-pay/deductible at that time.
Consider issuing interest-based loans.
Establish funding mechanisms in advance of care.
Following these guidelines will allow the patient and the hospital to focus on the care, not the payment.
For more information, contact Medical Recovery Services
Medical Recovery Services is a full-service revenue cycle company assisting
hospitals and surgical centers in achieving their full earning potential since 2004.