computers in the medical office
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Computers in the Medical Office. Chapter 10: Collections in the Medical Office. Importance of Collections. Patients are paying a greater share of their medical bills Not all patients pay on time Practices must collect monies owed in a timely manner to maintain cash flow. - PowerPoint PPT PresentationTRANSCRIPT
McGraw-Hill Career Education
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Chapter 10:Chapter 10:Collections in the Medical OfficeCollections in the Medical Office
Computers inComputers inthe Medical Officethe Medical Office
10-10-22
McGraw-Hill Career Education
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Importance of CollectionsImportance of Collections
Patients are paying a greater share of Patients are paying a greater share of their medical billstheir medical bills
Not all patients pay on timeNot all patients pay on timePractices must collect monies owed in Practices must collect monies owed in
a timely manner to maintain cash flowa timely manner to maintain cash flow
10-10-33
McGraw-Hill Career Education
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Patient Collection ProcessPatient Collection Process
Financial policy spells out how the Financial policy spells out how the practice handlespractice handles Colleting copaymentsColleting copayments Collecting prepayment Collecting prepayment Overdue accountsOverdue accounts Payment plansPayment plans Payment for services not covered by Payment for services not covered by
insuranceinsurance Charity casesCharity cases
10-10-44
McGraw-Hill Career Education
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Laws Governing CollectionsLaws Governing Collections
Patient collections regulated by federal Patient collections regulated by federal and state lawsand state laws
Insurance collections considered Insurance collections considered business collectionsbusiness collections
10-10-55
McGraw-Hill Career Education
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Laws Regulating Patient CollectionsLaws Regulating Patient Collections
Fair Debt Collection Practices Act of Fair Debt Collection Practices Act of 19771977
Telephone Consumer Protection Act of Telephone Consumer Protection Act of 19911991
General guidelinesGeneral guidelines No calls before 8 am or after 9 pmNo calls before 8 am or after 9 pm No threats or profane languageNo threats or profane language Respect patient privacyRespect patient privacy No deception or violenceNo deception or violence
10-10-66
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Collection AgenciesCollection Agencies
Used by some practices to collect on Used by some practices to collect on large overdue accountslarge overdue accounts
Once account is turned over to Once account is turned over to collection agency, the billing specialist collection agency, the billing specialist no longer contacts the patientno longer contacts the patient
Usually paid on the basis of what they Usually paid on the basis of what they collectcollect
10-10-77
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Payment PlansPayment Plans
Agreement between a patient and the Agreement between a patient and the practicepractice Patient makes regular payments over a Patient makes regular payments over a
specific period of timespecific period of time Finance charges may be appliedFinance charges may be applied
10-10-88
McGraw-Hill Career Education
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Uncollectible AccountsUncollectible Accounts
If collection attempts are exhausted, If collection attempts are exhausted, practice may write-off debtpractice may write-off debt
Amount owed is known as uncollectible Amount owed is known as uncollectible debt, or bad debtdebt, or bad debt
Medicare and Medicaid forbid the write-Medicare and Medicaid forbid the write-off of certain debts, unless a set of rigid off of certain debts, unless a set of rigid steps has been followedsteps has been followed
10-10-99
McGraw-Hill Career Education
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Laws Regulating Insurance ClaimsLaws Regulating Insurance Claims
Most states have prompt payment lawsMost states have prompt payment laws Mandate a time period within which clean Mandate a time period within which clean
claims must be paid or financial penalties claims must be paid or financial penalties may be leviedmay be levied
10-10-1010
McGraw-Hill Career Education
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Collection Activities in aCollection Activities in aPractice Management ProgramPractice Management Program
Aging report provides information on Aging report provides information on status of patient accountsstatus of patient accounts Current 0-30Current 0-30 31-60 days overdue31-60 days overdue 61-90 days overdue61-90 days overdue 91+ days overdue91+ days overdue
10-10-1111
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Collection Activities in aCollection Activities in aPractice Management ProgramPractice Management Program
To create collection lettersTo create collection letters1.1. Patient responsible tickler must be added Patient responsible tickler must be added
to Collection Listto Collection List
2.2. Collection Letter report must be createdCollection Letter report must be created
10-10-1212
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Collection Activities in aCollection Activities in aPractice Management ProgramPractice Management Program
Collection ListCollection List Tracks activities on overdue accountsTracks activities on overdue accounts TicklersTicklers
10-10-1313
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Collection Activities in aCollection Activities in aPractice Management ProgramPractice Management Program
Tickler Item dialog boxTickler Item dialog box
Tickler TabTickler Tab Office Notes TabOffice Notes Tab
10-10-1414
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Collection Activities in aCollection Activities in aPractice Management ProgramPractice Management Program
Patient Collection ReportPatient Collection Report Lists status, responsible party, chart Lists status, responsible party, chart
number, balance owed, and important number, balance owed, and important datesdates
Option to print collection letters appears Option to print collection letters appears after Collection Letter Report is closedafter Collection Letter Report is closed
10-10-1515
McGraw-Hill Career Education
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Collection Activities in aCollection Activities in aPractice Management ProgramPractice Management Program
Collection LettersCollection Letters If a collection letter has been sent, an If a collection letter has been sent, an
account alert appears in several Medisoft account alert appears in several Medisoft dialog boxes:dialog boxes:• Transaction EntryTransaction Entry• Appointment EntryAppointment Entry• Quick LedgerQuick Ledger
10-10-1616
McGraw-Hill Career Education
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Collection Activities in aCollection Activities in aPractice Management ProgramPractice Management Program
Collection LettersCollection Letters Account alerts include:Account alerts include:• IC – in collectionsIC – in collections• RB – remainder balanceRB – remainder balance• DP – delinquent on payment planDP – delinquent on payment plan
10-10-1717
McGraw-Hill Career Education
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Collection Activities in aCollection Activities in aPractice Management ProgramPractice Management Program
Collection Tracer ReportCollection Tracer Report Used to follow-up on collection letters Used to follow-up on collection letters
that were sentthat were sent Lists responsible party, chart number, Lists responsible party, chart number,
balance owed, date letter sent, and balance owed, date letter sent, and reason account is in collectionsreason account is in collections