It’s always been crucial for patients to pay their medical bills promptly, but this need has become more urgent lately. According to healthcare payment solutions provider PatientPay, this is largely because of the rise of high deductible health plans (HDHPs). Prior to HDHPs, doctors could pretty reliably receive over 90 percent of revenue from insurers within a two week span. That number has shifted to only 50 percent, leaving half of the bill in the hands of the patients themselves.
Fortunately, PatientPay’s paperless billing solution has a proven track record helping on this front. For example, Kids First Pediatrics Group LLC was able to help its practice reduce accounts receivable with the solution.
This is in part because patients prefer receiving their bills online. In fact, according to management consulting firm Deloitte (News - Alert), 73 percent of consumers feel this way. More importantly, though, the Medical Group Management Association (MGMA) states that using paper means as many as three monthly statements need to be issued before a payment is made.
The culprit is apparently the bill itself. According to PatientPay, studies have found that patients don’t pay bills they don’t understand or that don’t match insurance companies’ Explanation of Benefits. In addition, practices save money by cutting the cost of producing paper bills.
Earlier in the year, PatientPay partnered with TransFirst to create an enhanced healthcare payment solution, allowing healthcare providers to offer patients a seamless online payment experience.
“PatientPay gives healthcare groups a billing process that’s good for their patients and helps get them paid faster, which helps to speed up cash flow,” said Tom Furr, CEO of PatientPay. “Our healthcare payment solutions give medical groups a way to better control business expenses and give patients bills they can understand in a secure, compliant environment. PatientPay is the only paperless bill pay service that matches a provider’s charges with a patient’s EOB including all payments made by the patient either during the visit or afterwards.”
The switch to PatientPay has resulted in cost reduction of 69 percent for Kids First Pediatrics Group by cutting back on paper bills. Meanwhile, patients can pay their bills via computer, tablet and mobile phone, which results in more timely payments.