5 Inexpensive Ways to Improve Patient Collections

As "out of pocket" expenses continue to climb for patients, providers must do everything they can to make it easier for patients to pay their bills. Those medical facilities that succeed will reap the benefits of improved cash flow and greater profitability; those that don’t will have a hard time reaching their financial goals.

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Here are five effective, inexpensive ways to improve patient payments through communication and education.

1. Educate your staff.
Communicate your goals and objectives with your staff. Provide helpful tools and resources that they can be proud to offer to patients.

2. Clarify financial obligations prior to treatment. One of the most critical pieces is to determine the amount owed by the patient prior to treatment. Set goals for upfront collections and raise your staff’s commitment to explaining your payment policies in advance.

3. Provide simple, clear, concise statements. Track how many patients call in to get assistance in understanding their bill. Identify the most frequently asked questions and make adjustments where needed.

4. Include educational literature with the statements. Many providers find that an additional insert with a glossary of terms, or a "What to do When You Receive a Medical Bill" brochure that outlines simple options, can be very helpful.

5. Offer online billing, payment and assistance. A 2008 Pew Internet Study found that 39 percent of Americans pay their bills online. Providing patients with an online bill pay option can improve your patient collections. In addition, your Web site should also offer assistance with understanding EOBs and common insurance and medical billing terminology.

What it all boils down to is this: Patients who understand their financial obligations are simply more likely to pay their bills. Take the necessary steps now to improve patient education of non-covered expenses, and watch the impact on your bottom line.

Mr. Hamilton (dhamilton@mnetfinancial.com), president and CEO of Mnet Collection Agency, has been in the healthcare field for more than 10 years. Mnet specializes in helping medical providers improve their cash flow and reduce their bad debts. Customers include specialty hospitals, ASCs, imaging centers and physicians. Learn more about Mnet Financial. 

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