Medical practices require effective revenue cycle management (RCM) solutions to improve results and control costs. It has become essential for physicians to evaluate these solutions in order to be able to answer the following RCM questions:
- Is my RCM technology saving staff time, helping them focus on clinical tasks?
- Is my practice getting paid for all the rendered services?
- Is the existing RCM technology playing an effective role in reducing claims denials?
- Is the technology capable of handling future patient demands?
- Are all the processes at my practice co-ordinated?
Knowing the answers to these questions can help physicians implement effective RCM solutions for their practice. This will help them streamline administrative and clinical tasks, ensure timely payments and reduce AR days.
Industry Facts
- It is being estimated that the RCM market in the US will increase by 6.8% by 2018
- The market will reach $14.6 billion by 2016 and $5280 million by 2018
How Can the Latest RCM Solution Benefit Medical Practices?
- By updating the RCM technology, physicians can improve the claims processing and revenue generation
- It will help the billing staff in dealing with claims denials issues
- Providers will be able to keep a track of claims processing easily
- It will become easy for the staff to deal with billing issues and ensure timely payments
- Physicians will be able to determine a patient’s insurance eligibility and improve collection of co-pays
The best way to run a profitable business is to maintain a revenue cycle management system that is physician-focused alongside hospital-class management applications. Apart from delivering the above-mentioned benefits, a physician-focused RCM system can also expose procedural errors that otherwise go unnoticed.
Optimizing Revenue Cycle: What Practices Need to Do?
Physicians need to manage their revenue cycle in an effective manner. This will ensure the financial success of their practice. They need to determine if the existing technology needs re-engineering and if it should be updated.
- Ensuring a smooth transition to ICD-10 and HIPAA-5010 will help practices optimize their revenue cycle. They will not only have to update to HIPAA-5010 but also get ready for EHR and PM systems according to ICD-10
- Providers will have to offer incentives to check-in staff handling collections in order to improve patient collections. Adding a bill payment module to online patient portals can also be effective
- An effective system will have to be developed for managing and monitoring denials
Many practices across the US are finding it difficult to upgrade their RCM technology due to monetary constraints, lack of skilled resources and various other work-related issues. In order to sail through RCM challenges, they are outsourcing their needs to billing companies like MedicalBillersandCoders.com. MBC has been offering effective RCM solutions to practices across the US.
Experts at MBC scrutinize various stages of RCM to identify loopholes and help physicians improve collections, enhance cash flow, streamline healthcare operations and systematically run their business operations.
FAQs
1. Why is effective revenue cycle management (RCM) crucial for medical practices?
RCM helps streamline administrative and clinical tasks, ensures timely payments, and reduces AR days. It is essential for improving financial performance and operational efficiency.
2. What are the key benefits of updating RCM technology for medical practices?
Upgrading RCM technology helps improve claims processing, reduce denials, and ensure timely payments. It also enhances tracking of claims and eligibility verification.
3. How can RCM solutions help reduce claims denials?
Effective RCM technology identifies and addresses issues causing denials, streamlining the claims process. This ensures that all rendered services are paid for and reduces errors in the billing system.
4. What steps can practices take to optimize their revenue cycle?
Practices should update technology to comply with ICD-10 and HIPAA-5010, incentivize staff for better collections, and develop efficient denial management systems.
5. How can outsourcing RCM help medical practices?
Outsourcing RCM to billing experts helps practices overcome technology limitations and staffing challenges. This ensures efficient revenue cycle management, improved collections, and enhanced cash flow.
