Can’t stand to look at the list of your aging A/Rs? Well, maybe it’s not that long, or you’re not owed that much. But if they are out of control, maybe it’s time for a medical billing service to take this task over for you, clear it out, and get you back to a clean slate.
Remember, medical billing services work on accounts that aren’t overdue just as well, but if you need to clear out old receivables, a medical billing service can be just what the doctor ordered.
If your staff had the time to work on these problematic accounts, maybe they would never have gotten old. But now that they are, what’s more important – figuring out why it happened, or getting that owed-to-you revenue into your hands?
If you have many overdue accounts, your medical billing service might decide to work on the latest and largest ones first. Smaller balance accounts that are not long overdue may be next, the idea being don’t wait because they could become bigger headaches later. Then it is time for the difficult accounts, now that the easiest ones are cleaned up. These are the hardest accounts of all to collect on, but a diligent medical biller will, just so that all concerned won’t have to think about them anymore. Then starts the work of trying to determine how they got so old, so that proactive measures can be taken to keep it from happening again.
Work on the very old receivables may require numerous telephone calls to resolve, especially to the payer. Old receivables may need to be rebilled once new patient information is received, such as new address information, for example. Turning old accounts into revenue for your practice sounds better than giving up on them as uncollectable, doesn’t it? Your medical billing service should be able to do this for you in the normal course of business, and will work diligently to make sure this happens. It is possible that your in-house biller may not be able to do this as well as a medical billing service does.
But after all of this work is done, you will want to figure out how these accounts were allowed to age so long, and try to prevent it in the future. It will be best for your practice if you can obtain the revenue you are owed when it is due. If you can find the root cause of this problem – not enough staff, follow up not done — eliminate it if possible. And remember, the best way to eliminate the problem is engaging the services of a medical billing company. Aging accounts receivable are then handled as a matter of course, and fewer old bills happen, and those that do become a lot fewer in number.