What Is Medical Billing?
The first thing you need to understand regarding the whole process of medical billing services is that your practice is a business. Even though you are a doctor and you are trying to help as many people as you can and save their lives, you are still running a business. This idea means that you need to make sure someone pays you for the services you offer.
Once you understand how important this is, you will be faced with the following decision. Do you take care of the medical billing in-house or do you hire a team which will oversee all your billing?
Keep in mind that medical billing is the process through which a service, you as a doctor, has provided to a patient transforms into a billing claim. The equation is rather simple here. If you fail to file a claim, you will not get paid for said service. When it comes down to this, you can easily see how taking care of your medical billing in a professional way becomes a rather serious issue.
Medical Billing Services vs. In House Medical Billing
Keeping all the above in mind, which solution do you choose? Do you outsource it to a team of professionals or do you keep it in the family, so to say? If you go for the latter, you will need to learn how to master specialized software.
This piece of software needs to stay on top of your patients’ balances and to send bills to the responsible payers. Apart from that, you will need to hire some specialized staff which can run this software and manage the cycle at all times.
The third thing you need to keep in mind when opting for in-house medical billing is that you and your practice will be directly responsible for any rejected or denied claims.
The regulatory framework is always changing, so you need to stay on top of that as well. For example, October 2015 brought on a transition to the far more intricate ICD-10 coding. If you decide to engage in this process by yourself, this is something you will need to know.
The pro when it comes to in-house medical billing is the fact that it is indeed a lot cheaper. The con though is the fact that it is extremely time-consuming. You will also especially need to train your staff or yourself to be able to do it.
When you look at things in this light, medical billing services become the savior solution. They typically consist of a third party company. For a fraction of your collection, this firm will take over your billing cycle and manage it to perfection. As a consequence, you and your staff will be free to focus on the practice and the patients rather than on paperwork.
Apart from that, if you manage to find a reliable medical billing service, it shall serve other purposes as well, such as the following.
Increase your collection rate.
Reduce denials and rejections.
Provide you with an analysis and a report of the accounts receivable.
Still, how does one know which medical billing service to trust? This question is an excellent one which brings us to our following topic.