By Thea Sinclair
Hospitals, health systems, and small practices are places to provide potentially life-saving services to patients in need of care. Hence, every healthcare organization needs to develop a lucrative process and policies for achieving healthy financial statements. Here, revenue cycle management is imperative for flourishing healthcare organizations, and the primary function of financial measurement in healthcare is to run an organization profitably and effectively.
A thriving revenue cycle ensures well-timed revenue, steady collection, and healthy financial viability for a healthcare organization; these strands focus on providing high-quality care to patients. The main purpose of financial management in healthcare is to oversee cash flow and risk systems to ensure an organization's financial success. Revenue cycle management allows financial process departments and organizations to manage the administrative functions linked to processing medical claims, payments, and revenue generation. These are then used to collect profits and track expenses.
Below are a handful of the top challenges the American healthcare system faces today, which in turn impacts the financial health of these organizations:
Each healthcare organization needs to stay on top of its revenue cycle to maintain its financial strength. The revenue cycle begins with internal, dedicated staff or outsourcing these services to authorize patients before a medical service is provided, determine patients' benefits, submit claims, manage payments and denials, and generate authentic reports. Therefore, revenue cycle management has a complete walk-through to balance financial measurements. Some tips for enhancing your revenue cycle management include:
Internal dedicated staff or outsourced medical billing companies provide a beneficial revenue cycle management process as the American healthcare systems moves toward value-based care, streamlining operational procedures that can help healthcare organizations remain financially healthy.
Outsourced medical billing services help organizations save time by streamlining the revenue cycle management process—from patient registration to appointments—and provide payment reminders to payers regarding claims, resubmitting claims, and denials. These services also help to promptly detect if there are any billing or coding errors, while correcting them quickly.
By focusing on time commitment and reducing human errors, the revenue cycle management process can reduce costs and denial rates by eliminating errors from payment claims. Further, outsourced medical billing services can help accelerate the collection process and reduce the administrative burden by taking care of preparing bills, collecting payments, and submitting claims to payers.
Medcare MSO is a medical billing services provider located in New Mexico that healthcare organizations can engage to improve their revenue cycle management. The leading responsibility of Medcare MSO is to provide problem-solving solutions through skilled and professional medical billers and coders. Our qualified billers and coders ensure patients' information is accurate, check eligibility, submit claims, post payments, and manage denials. For further details, visit the Medcare MSO website.
Thea Sinclair is content writer at Medcare MSO. She holds a current medical billing & coding certification and is member of the American Academy of Professional Coders. She has worked in medical billing and coding for over 6 years, working in a wide variety of medical specialties like evaluation/management, physical therapy, mental health, acupuncture, outpatient and inpatient care, nursing home care, radiology, and wound care. Sinclair has worked in a provider’s office and for professional medical billing services.
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