All of us want a healthy and happy life, but there are times when we fall sick or get injured and need to visit the doctor. The most essential thing that people need during this time is financial support to cover their medical expenses.
Health insurance is one of the most valuable insurance plans that cover all your medical or surgical expenses. People with medical insurance are often referred to as ‘insured’ or ‘subscribers’, they need to pay a certain amount of money every month which saves them during any medical emergency.
In the healthcare industry, medical billing professionals play an important role and in this article, we will discuss medical billing and its importance.
What Is Medical Billing?
Medical billing is the process of submitting all medical claims and performing timely follow up to ensure that the healthcare organization receives the payment for the services they have offered. Medical billing essentially translates healthcare services to receive medical claims. A medical biller is responsible for following up with the insurance companies to ensure the entire amount is reimbursed and the organization receives the amount.
Medical billing includes the process of submitting all health insurance claims on behalf of the patient to various health insurance payers to receive the payment for the service rendered. A medical biller is in charge of gathering all data required in the CMS 1500 Forms and UB-04 Forms.
Why Is Medical Billing necessary?
Medical billers are an integral part of the entire healthcare industry and they play a crucial role in managing the revenue cycle of any healthcare institution. A skillful biller helps connect healthcare service providers, the patient, and the insurance company.
Medical coding and billing specialists play a very important role in the entire healthcare business. They use alphanumeric diagnosis to communicate various information about each patient being treated. This makes the entire process very quick and time-efficient.
Some of the important responsibilities of a medical billing expert include:
- Collecting and managing payments from each patient.
- Preparing payment statements and reviewing them to correct errors.
- Submitting medical claims to insurance companies.
- Timely follow-up with medical insurance companies to receive reimbursements on time.
- Working with relevant computer software to keep data organized and to maintain a proper patient database.
- Making sure that all medical facilities have received their payment for all services provided.
- Maintaining data security.
All these responsibilities are difficult to perform for medical professionals along with performing their daily duties hence it is necessary to hire separate medical billing professionals.
Advantages of Outsourcing Medical Billing
Traditionally, medical billing is performed by in-house professionals. However, today healthcare organizations are now shifting towards outsourcing the function. Outsourcing has several advantages, one of them being cost reduction. Today in the world of a complex healthcare marketplace, having a successful billing team is extremely essential.
Medical billing outsourcing makes the entire revenue management process even easier for healthcare workers. Below we have listed some of the benefits of medical billing outsourcing:
- Helps to focus better on patient care
- Less billing errors
- Helps in reducing the cost to a huge extend
- Accelerates cash flow in the business
- Better patient satisfaction
- Ensures Billing compliances
Importance of Medical Billing
Medical billers and coders play a very important role in the medical industry today. They are responsible for performing the most difficult and time-consuming tasks while health workers are busy taking care of the patients. It is one of the most in-demand job roles in the current market.
Medical billing ensures that all staff is paid and the reimbursement is received on time. Billing is a vital process, it helps the entire medical practice to survive. All healthcare organizations need to have a strong billing team. Keeping a record of all claims is very important to keep the cash flow cycle running. Healthcare organizations usually end up losing a huge part of their revenue solely because of poorly managed patient accounts.
In short, the medical billing process is important to ensure that the healthcare service providers are paid for the services provided.
Medical Billing Process
Every company follows its procedure to make the business profitable. Likewise, the medical billing process is also different for each company. However, there are some basic steps that most healthcare organizations need to follow while performing medical billing.
Below we have listed the basic steps involved in the medical billing process:
- Patient registration
- Insurance claim verification
- Collecting treatment details
- Medical coding
- Charge entry for each treatment
- Charge transmission process
- AR Calling
- Patient management
- Follow-up with the insurance company
- Payment posting
How much does the Medical Billing Service Cost?
Medical billing service is extremely important and is costly at the same time. An in-house billing team would be a very expensive option. However, if any medical organization opts for outsourcing, the entire cost gets reduced to a huge extent.
The cost of an in-house team is calculated by adding the median salaries of two staff including their training costs, state taxes, office space rent, office stationery, and other miscellaneous expenses.
In the outsourcing model, only one staff is required who needs to perform properly follow up with the third party billing company. Outsourcing cuts out the other costs included for an in-house billing team.
Atom Healthcare’s Role as a Leading Medical Billing Company
At Atom, we provide outsourcing facilities to leading healthcare institutions. We aim at offering comprehensive and flexible healthcare revenue management services that will eventually reduce the operational cost of healthcare institutions. Our team of experts is capable of handling full back-office work along with identifying growth opportunities.
Our service will help in better cash, claim, and productivity management.
Medical billing plays a crucial role in revenue management for any medical institution. Whether you want to outsource or hire an in-house team, completely depends on various factors. Medical billing is a crucial step and only highly skilled professionals should be appointed for this job role.
If you are planning to outsource, Atom Healthcare is one of the best service providers in the market.