What it Means
Healthcare Revenue Cycle Management is undergoing a profound change. Patients are seeing both their premium and out-of-pocket expenses increase because insurers expect them to shoulder more of the financial burden for care. That means medical and dental practices are becoming more dependent on patient payments for their cash flow. Healthcare revenue cycle management executives everywhere are examining how they collect patient payments and developing strategies that will ensure the sustainability of their organization.
This increased price awareness among patients has created a consumer mindset that healthcare has not seen before. Patients now expect their healthcare bill payments to be just as easy as paying their cable bill.
Why it Matters
Practices can incur substantial expense to collect patient payments. Experts estimate each statement sent by providers costs between seven and nine dollars in administrative time, postage and supplies. So, organizations are looking for every opportunity to collect payment at the time-of-service or create automatic payment functionality to avoid sending expensive statements.
Additionally, many patients are finding it increasingly difficult to pay their medical bills, which could lead to higher levels of bad debt. Research shows there is only a 20% chance of payment if an account falls 90 or more days past due. Keeping days in accounts receivable low can have a profound effect on your revenue cycle management and key performance indicators.
What We Can Do
Rectangle Health offers your patients the options and service they have come to expect in this new era while helping you protect revenue flow with increased automation and enhanced security. Our convenient payment solutions make it easy for your staff to collect payment-at-time of service, and your patients to meet their financial obligations after the appointment.
Our proprietary Practice Management Bridge® improves revenue cycle management and creates more consistent patient payments, resulting in increased payment processing efficiency and stable cash flow. Rectangle Health integrates with any practice management system and our functionality is an attribute no other enterprise can match in size or scale.
What You Should Do
In addition to employing the right technology to streamline payments and keep cash flowing, successful practices apply procedures and staff training which emphasize the importance of patient payments. Examples include: