Accounts Receivable Management: Prevent Overdue Payment or Non-payment
Accounts Receivable (AR) management refers to a set of policies and procedures that enable your medical practice to collect owed payments on time and credit to the appropriate account.
It involves various processes, including:
- Identifying unpaid or denied patient claims
- Tracking unpaid accounts
- Refiling corrected claims
- Implementing procedures to obtain payment
- Reducing the A/R days, which involves minimizing the number of days from submission to payment
Why You Need Efficient AR Management
Effective AR management is important for health care providers for the following reasons:
- Helps with Financial Stability – By implementing solid A/R management strategies, your medical practice maintains steady and positive cash flow to cover the operational costs of your health care facility.
- Makes Recovering Overdue Payments Easier – Medical practices with excellent AR management recover overdue payments more easily. Additionally, health care providers receive payments on time when they have a team that follows a strong claims follow-up process.
- Cuts Down Time for Outstanding Accounts – Your medical practice should take care of outstanding accounts swiftly because these can drastically affect your revenue. With AR management, you can track outstanding accounts, come up with an appropriate action necessary to obtain payment, and execute the process to secure payment.
- Prevents Missing Claims – Payment delays may happen when a claim becomes lost or never makes it to the intended recipient. A health care facility that adheres to AR management best practices can take steps to make sure that the recipient receives the claim.
How Physicians Management Network Inc. Helps with AR Management
We offer comprehensive accounts receivable management solutions, helping your medical practice send out bills promptly and work with pending accounts. By doing so, you can accelerate cash flow and continue to deliver excellent patient care.
We use state-of-the-art, comprehensive practice management software. With this platform, we help you manage your practice more effectively and enable your health care facility to collect and achieve its full revenue potential.
We’ve helped health care facilities collect over $150 million in revenue with days in accounts receivable (days in AR) not exceeding 90 days.
Apart from AR follow-ups, our company assists medical practices with denial management. We will help you with the management of claim denials to boost revenue, collections rate, and patient satisfaction.
Claims may get denied for many reasons at different levels of the process from the claim level all the way through the payer level. Our state-of-the-art practice management software allows us to scrub claims to capture many errors before claims reach the payer level for reimbursement.
According to the American Medical Association (national Health Insurer Report Card), payment accuracy rates among insurance companies may be as low as 62.08%. Therefore PMN routinely monitors reimbursement rates to capture any unjust underpayment claims and submits appeals for reconsideration.
Claim Correction & Follow-up
Although PMN places a great deal of emphasis on quality of service in order to achieve above 99% accuracy, claims may get denied for a variety of reasons such as incorrect patient demographics, missing/incorrect pre-authorization, a lapse in coverage, etc. Therefore our team carries out a comprehensive follow-up process to ensure all claims are properly reimbursed.