Point of Service Collections
In today’s environment of high deductible plans, the patient bears a considerable portion of the financial responsibility of the claim.
Medical industry surveys reveal that providers who don't employ a thorough patient billing service solution often collect only 50% to 60% of patient co-payments, and today these co-payments average up to 20% of the total cost of care.
Our Patient Estimator application allows the hospital and patient to address this challenge together. The Patient Estimator generates a printed report that is given to patients prior to providing service clearly explaining their financial obligation.
Estimating the amount a patient will be required to pay at the time of registration and requesting a portion (or all) of this amount at that time will allow the hospital to:
• Realize an immediate, substantial cash flow increase
Where this program has been consistently applied, it has produced an immediate and significant cash flow increase. Recently, a small rural Oklahoma hospital experienced a one month 7% increase in revenue, amounting to $42,000.
• Decrease your Days in A/R
A Professional Recovery Personnel™ study estimated that the collectability of receivables drops substantially by as much as 40% to 80% once they become 90 to 120 days old.
• Reduce the potential burden of collections costs
Research done by In2itive Business Solutions™ has found that it costs from $10 to $15 per letter to mail out follow-up collection letters. If a hospital mails approximately one hundred collections letters per month, the result can be an additional unrecoverable revenue loss of $1,000 to $1,500 per month or $12K to $18K annually.