If you’re like most organizations, 2020 has impacted your patient volume and cash collection, so capturing every dollar of the revenue you’re entitled to is critical. Recently I wrote an article featured in Beckers Hospital Review about three key reasons claims are piling up in your Accounts Receivable (AR) ledger. (To check out the full article, click here: https://www.frontrunnerhc.com/post/bhrarticle2020.) Since the year end is coming soon, let’s talk about how you can turn that AR into much needed revenue.
We have identified three key reasons contributing to that mountain of AR: inaccurate patient data, the complexity of health insurance and resource challenges with your teams often spread thin doing other valuable work. Year after year, as we help clients find lost revenue, these three factors remain consistent roadblocks to capturing revenue.
Fighting these challenges daily, it’s no surprise that many healthcare organizations and labs accumulate a sizable AR backlog. It might include rejected claims, denied claims, or claims for which the status is unknown – maybe they’ve been sent to insurance companies, but you haven’t heard back. While it can feel like one more huge task on your ‘to do’ list, I’d suggest you look at it as an opportunity for capturing otherwise forfeited revenue and closing the year out better than you may have expected.
To make the most of the opportunity, consider the best plan of attack. To maximize revenue, the AR backlog should be managed quickly, accurately, and cost-effectively by acknowledging and addressing the three factors mentioned above. The attack plan must result in accurate patient demographic and insurance information and discovery of the right insurance for the specific claim, with an automated and timely process.
Look for a partner with extensive experience and insurance experts to support your team and automated software with deep capabilities for Benefits Investigation, tailored to your patient population. For accurate Benefits Investigation, the software must have built-in connections to access the thousands of available data sources and the technology to not only find the information but cross-check, validate, and fix it if it’s inaccurate. For example, we’ve seen many instances where a claim was rejected or put on hold because while the insurance company was listed correctly, the specific insurance plan was incorrect. We invite you to see a demo of the FrontRunnerHC software in action and learn how it integrates with your patient records and billing system.
In no time, you can convert that AR to collected revenue. One health system we recently worked with sent us their full AR for several hospitals in their network. We were able to identify millions of dollars in claims allocated to the wrong insurance companies, which could have delayed collections and caused them to miss timely filing. We also identified millions of additional dollars in otherwise forfeited revenue that was eligible for reimbursement. And we helped them achieve a 99% first-pass clean rate for eligibility-related denials.
We’d be happy to help you attack that backlog. Reach out to us to learn more about our end of year promotion.
To view the blog post hosted by our partners at Xifin, click here.