To learn how your team could organize your AR to improve the speed and efficiency of the claims process, download our free eBook, 10 Deadly Sins of AR and How to Fix Them. In it, you’ll find great advice from the RCM Brain team on addressing this AR sin and nine others as well.
Due in part to how busy your AR department is, they are not conducting any analysis on prior successes in claim payments. Your team keeps their nose to the grindstone, working one claim at a time, without knowing what types of AR claims have been historically recovered from which payers.
This lack of analysis results in many issues. One crucial one is that your team remains unaware of denials that could be reversed with proper action taken.
There are many ways to sort claims to divide them into actionable buckets, whether by the type, the payer each one is being submitted (or resubmitted) to, the likelihood they will be overturned or paid, or some combination of these factors.
But, to use the sock metaphor again, when the head of your department looks at your AR, they only see a pile of socks instead of distinct sets that go together.
Because your medical company doesn’t currently sort claims by type, payer, and – perhaps most importantly – the likelihood of payment, your AR department also doesn’t know what type of follow-up is needed for each claim.
This may not seem like that big of a deal, but consider this example. One of your employees finally resolves a claim after great effort and then moves on to a completely different type of claim. At the same time, another employee does the same thing. Unbeknownst to both employees, they’ve each just resolved the type of claim the other one is just beginning to struggle with.
Solution: Group Your AR into Actionable Buckets
Typically, billing offices don’t organize their accounts receivable into actionable buckets, which means that they are working from a list that includes:
- AR that should be immediately written off
- AR that should be transferred to the patient
- AR that is actually collectible
If this is the case for your medical business, your team will likely spend time researching accounts that have no relevant follow-up activity and should have been filtered out in the first place.By fundamentally changing the way your team categorizes AR data, you’ll automatically filter out the items that are actionable and those that are not actionable. Your AR department will spend their time processing claims productively.
Download our free eBook, 10 Deadly Sins of AR and How to Fix Them, to learn much more about how your team can dramatically improve efficiency by organizing AR into actionable buckets and by addressing nine other AR sins.
For further guidance in growing your medical business, book a consultation with the RCM Brain team by using our online form. You can also call us directly at 1-855-RCM-BETH.