The healthcare accounts receivable sector has seen several changes during the last few years. Hospital CFOs are now confessing that they’re struggling to cope with all the differences in the system. Managing budgets, working on initiatives to reduce costs, and implementing and developing financial processes are enough of a struggle. Now, dealing with healthcare accounts receivable changes is just another thing to add to the mix. With self-pay healthcare being a feature of this new era, a host of new problems has arisen. New financial groups are now appearing in hospitals. This means healthcare providers can no longer rely on old tried-and-tested methods and statistics to collect what’s due. So, how are hospital CFOs able to prepare for the latest challenges in managing their organizations’ revenue cycles?
Revenue Cycle and Debt Collection Management Trends for 2019
For many years, hospitals have developed sophisticated techniques for collection that have kept their revenue cycle functioning. However, there have been two major changes to these processes that will disrupt the cycle exponentially.
First, there has been a recent call for greater transparency in pricing. Consumerism is now rife throughout the healthcare industry. Patients want to know exactly what they are paying for and how much things are going cost. The new scrutiny in terms of pricing is set to leave yesterday’s healthcare accounts receivable practices far behind.
Another major change comes in the form of an increase in the number of self-paying patients. More patients are opting for a high-deductible insurance plan. Some insurance plans force others to choose such medical coverage. Whichever is the case, they are taking on extra risk. The average patient doesn’t have access to the large sums of money required to pay for his or her treatment. A company asks a patient to pay sums in the thousands for his or her care. And, since he or she cannot, the patient is stuck. The patient has insufficient savings to cover his or her costs.
A March 2018 report stated that 65 percent of people in the United States save either little or nothing. This is a trend that will only get worse in the years to come. Now, high deductibles are becoming the norm and hospitals will end up facing higher consumer debts. What can healthcare providers do about this?
Finding New Solutions to Receive Payment
The healthcare industry needs a new and flexible payment solution. Finding convenient ways to help patients to make payments is the best way to keep revenue flowing. While patients are unlikely to have $10,000 in savings, they can put in place a payment plan. When patients have a greater level of control over their payments, they are more empowered to pay. Instead of facing an insurmountable mountain of debt, patients can repay in manageable monthly sums. In addition, by offering patients the chance to use their preferred payment methods, they enjoy greater freedom. No longer tied to cash or check payments, patients can pay via an online portal or telephone IVR system. The result is that companies are more likely to receive payments in a timely manner. While it isn’t the same as receiving the entire amount in one go, it ensures that revenue keeps flowing in.
BillingTree’s Healthcare Accounts Receivable Solutions
BillingTree offers cutting-edge healthcare accounts receivable solutions for hospitals and medical practitioners. The solutions are fully compliant and utilize the latest technology. BillingTree’s solutions have been successful. With many years in the industry, BillingTree is the company healthcare service providers can rely on to offer leading payment solutions. With our systems in place, receiving patient payments on time becomes easier and more efficient.