While a maximized return on outstanding debt is often the goal when a medical practice partners with a professional debt collection agency, that should really be just the beginning. An experienced agency should also be able to share the insight that comes from decades of experience. Hospital Collection Services has worked closely with clients across all disciplines of the medical industry. Here are three barriers to patient collections that medical practices should understand so that they’re better positioned to help patients navigate their bills.
The Difference Between Professional and Facility Services
Healthcare billing is often complicated, and multiple bills for a single procedure are commonplace. It’s a common mistake for patients to assume that a payment to a facility, such as the hospital or out-patient center, means they’ve fulfilled their financial obligation for a procedure. Unfortunately, that’s not necessarily the case. In most instances, facility services will be separate from professional services, which might include the surgeon, hospitalist, and anesthesiologist, all of whom have their own fees. It can be helpful to think of it from the patient’s perspective. From that viewpoint, multiple bills for the same medical procedure may seem like a mistake, such as an accidental double bill. A medical practice that clarifies separate costs for a single procedure to patients before a procedure is scheduled can help mitigate this confusion and create a more positive medical billing experience for the patient.
The Myth of Medical Bills and Collections
A persistent misconception holds that medical bills are a type of debt that can’t be sent to collections. Operating under this myth can lead a patient to prioritize the payment of other bills because they believe that medical balances are somehow exempt from being sent to collections. While this is patently false, it’s a surprisingly pervasive assumption. Clear communication with patients before a procedure is key to ensuring that they understand the truth.
Asking for Payment isn’t a Collection Strategy
Any medical practice dealing with outstanding invoices understands the time and resources it takes to chase down patients for money owned. But be very clear that diverting a staff member to follow up with patients and ask for payment isn’t a collection strategy. True collection strategies become very evident when a medical practice partners with a professional collection agency. Tools, training and technology greatly increase the chances of a return. What’s more, an experienced firm like Hospital Collection Services here in Reno understands the importance of preserving patient relationships. Our approach is always compliant and respectful, often involving framing effective payment expectations in the most collaborative manner possible.
Takeaway
We recommend that medical practices adopt a proactive and educational approach with their patients. It raises the likelihood that your services will be paid promptly and helps ensure a better patient experience. That experience is critical — studies have linked a patient’s positive billing experience with a twofold increase in recommendations for a physician, and a fivefold increase in facility recommendations.
Medical practices and patients are both navigating the complexities of medical billing systems, and that means education and communication are of the utmost importance. Hospital Collection Services specializes in collections for the medical industry, and we can share our experience and insight with your practice. Stop debt recovery issues before they even begin — contact us today to learn more.
