September 15, 2017
The time is long past for physicians and their practices to outsource their medical billing processes. Full stop. It may seem like a painful transition that simply isn’t worth it, but the evidence disagrees, across the board. Switching from in-house to a third-party biller will save your practice money, increase the number of claims processed, and help streamline your office’s workflow. If you aren’t convinced, let’s check the numbers.
“Out-sourcing billing is 48% less expensive than in-house and that doesn’t include the advantage of processing more claims.”
At a time when practices are strapped for funds, reducing and eliminating an entire department will undoubtedly save money. But how much? This cost projection by Medical Billing Virginia concludes that out-sourcing billing is 48% less expensive than in-house. That doesn’t include the advantage of processing more claims, which this cost projection from www.SoftwareAdvice.com accounts for, concluding that third-party billing services can net $250,000 over a conventional system. The numbers are impressive, but where do these savings happen?
Fewer employee salaries is by far the biggest opportunity to save. Medical Billers earn up to $44,000, and the average department needs at least two billing specialists to be efficient (http://www.payscale.com). Adding in the cost of health insurance, which nearly two-thirds of billers receive, as well as dental insurance, which another 40+% receive, the expenses can balloon to well over one-hundred thousand dollars. Also, high turnover rates can mean lost productivity during training (www.mpowermed.com). Furthermore, computer issues are fairly common, and you and your staff likely do not have the IT skills to resolve these problems. As a physician, you are far more interested in taking care of patients.
Imagine if your practice had transitioned a few years ago. The savings could already be topping a million dollars, if not more. That doesn’t account for the increased productivity and headaches avoided, either. So, what does such a cost-effective transition look like?
ChartLogic’s Medical Billing Services lifts the billing burden from your practice, liberating providers and busy staff to shift their whole focus back to the real priority: patients. ChartLogic’s expertise and cutting-edge technology streamlines billing and, as a result, streamlines your entire office.
The best time to switch to an outsourced billing system is yesterday. The second best is today. There’s simply no good reason to try and juggle a billing system alongside a medical practice. Accepting this hard truth is the first, and most difficult step. Making the move to save millions is much easier.