The question of whether to outsource your medical billing and collections or keep the process in-house is one that weighs heavily on many doctors and practice owners. The right decision depends on your practice’s needs, the age of the business, the size and talent pool of local coders, the state of our finances, and many other considerations.
After your clinical operations, revenue cycle management is the most important process of your practice. And, with the ICD-10 deadline approaching within 50 days, it’s important to ensure that your medical billing operations are in top shape.
Why Outsource Your Medical Billing Operations?
For one, it’s less expensive. Besides the fact that your practice won’t have to pay for top talent (see below), medical billing companies operate and perform at a fraction of the cost of in-house billing. Software Advice has even gone as far as performing a cost analysis of in-house versus outsourced billing services. Take a look here.
Your management will also spend less time in the office, and more time with patients. Outsourced medical billing almost eliminates the administrative burden that is part of running a medical practice. For those 58% of physicians who spend the equivalent of one day a week on paperwork, any relief from that administrative tedium is welcome.
Although you will be less hands-on in the billing processes, the right medical billing company will have a top-notch transparency agreement. Your medical billing company should supply you with comprehensive performance reports automatically or upon request. This grants you unparalleled visibility into your billing operations without requiring you to micromanage – or even oversee – any of the staffers.
In addition, outsourcing your medical billing and collections will allow you to attain top coding and collections talent without paying their salaries out of pocket. Some practices often find they would love to have the help of a particular expert such as a certified coder, but don’t have need of a full-time person. Medical billing companies can employ highly-trained and credentialed professionals like coders, and share their skills and expense across their practice clients. This is a win-win situation, allowing practices access to high-end skills they want just a little of, and allowing the professionals to work full-time at the top of their capabilities.
Should You Outsource Your Medical Billing?
Besides costs, there are five other factors that should make you consider outsourcing your medical billing operations:
- Your billing process is inefficient
- You have a high staff turnover and lose top talent often
- Your practice is not tech savvy
- You are a new provider
- Your owners are not business-minded
If you’re considering outsourcing, make sure to check out and download this PDF with 9 Questions to ask your potential medical billing vendors.
Is your medical practice ready to switch to a new medical billing vendor? AntWorks can assist your practice in the ICD-1o transition before October 1, 2015.