Features Navigation

Live Chat (800) 825-0224 Live Demo

Common Myths About Outsourcing Your Medical Billing

Blog Article

Myth | AdvancedMD

Medical billing is one of the most important parts of your business, but for small and even some medium-size practices, it can also be one of the most difficult to get right. When you have a small staff who are asked to wear a lot of hats, you may not be able to hire someone who specializes exclusively in billing. If it’s not a priority, or your staff isn’t up to date on all the latest billing changes, you could be leaving money on the table or risk making errors that open your practice up to an audit, fines, or other penalties.

Small practices may benefit from outsourcing medical billing, but before you reject the idea, it’s probably important to correct a few of the common myths out there about it.

Myth: Medical billing is really just data entry

Truth: Medical billing is a complex system that involves submitting claims to private and public insurance payers and collecting balances from your patients that are not covered by insurance (or for patients that are uninsured). Medical coders must be able to read physician notes, understand nuances in a medical record, and ensure the relevant information is in a patient’s chart to justify billing for specific services. Then they must also know which code(s) are available and valid, so they don’t overbill (billing for more or more complex services than what was provided) or underbill (billing for less or less complex services). Both of these things are against the law, and ignorance of medical billing and coding rules is not a legal defense.

When you pay for outsourced medical billing, you’re paying for people who have expertise and experience in billing.

 

Myth: Outsourcing won’t save any time

Truth: Since medical billing and coding staff at the revenue cycle management third-party company only focus on billing, they can often submit claims quicker than your internal staff (who probably wear many hats and have a lot of other work in your office). They can also follow-up with denied or rejected claims in a timely manner, ensuring that you don’t miss filing deadlines for appeals. The sooner you get claims submitted, the more likely they will be paid, and the more likely you will be able to collect on the patient responsibility portion of a bill. Outsourcing also frees up your staff to do other tasks that are essential to your clinic operations.

 

Myth: Outsourcing is expensive

Truth: You are going to have to pay someone to do your medical billing, and for many small clinics, the cost of a salary, benefits, and office expenses add up to more than the cost to outsource. In addition, since the employees at the medical billing companies are highly experienced and trained, they can often bill more effectively, which means you will collect more revenue as a percent of your billed charges. In fact, many clinics actually save money by outsourcing and it’s an investment rather than an expense.

 

Myth: I will lose control over my finances when I outsource

Truth: The right medical billing company will keep you in the loop on everything happening in your billing and revenue cycle every month, or more often if you prefer. Easy-to-read reports help you see the big financial picture or dig into the details. You may feel even more in control by outsourcing than you ever did with internal billing because you know it’s in the hands of experts and you get regular reports to keep you updated.

To learn more about how AdvancedMD and our partners can provide you with medical billing services, contact us today.

 

Request a personalized demo

Schedule a demo of AdvancedMD & receive a $20 Amazon gift card.

Schedule demo


Topic: Medical Billing | Content Type: Blog Article

“[Our] patients are very well-educated and well-informed, and they want to see results quickly. The practice has to run extremely efficiently and be accessible to them. The nice thing about [AdvancedMD] is it has allowed me to be more efficient both in and out of the office. Now I don’t have to come back into the office, which is great for my family and everything else. It saves me a lot of time – probably an hour a day on the three days I work in the second office.”

Keith Berkowitz, MD
Center for Balanced Health

Read the story  ›

“Having complete, complex reports right at your fingertips is invaluable to your practice’s health–it’s charting waters to these uncertain business times.”

Ron Rosenberg, PA
Practice Management Resource Group

Read the story  ›

“Our workflow has diminished as far as the redundancies, having to do the back-and-click here or check on this and check on that—it’s all right there!”

Johnette Lamborne
Office manager

“The money I have invested in AdvancedMD is miniscule compared to the return. I have never been more efficient – ever – in my professional life as I am now.”

Jed Shay, MD
The Pain Care Center

Read the story  ›