Make your collection process efficient
By Susan Hoy

Collecting what is owed to you from managed-care companies has become a daunting task. No longer can you send the bill for services and expect to get paid without any further effort.

Collecting in today’s managed-care environment is time-consuming and almost always frustrating. A systemized, efficient approach is absolutely necessary. Here are some suggestions for managing your collections:

• Compare the reimbursements. Create a spreadsheet of your managed-care companies. List all the companies with which you have agreements across the top of the spreadsheet. Along the side, list all the procedure codes you use in your office. For each code, list the expected reimbursement from each company. On a periodic basis, re-evaluate your reimbursements. Sometimes the effort is not worth the reimbursement.

• Create a tracking system. You must have a system for tracking each patient for limitations, date expirations and expired visits. Be proactive as opposed to reactive. Patients do not want to find out in six months that their insurance hasn’t been paying.

• Follow up on new patient bills promptly. When you send out billing for a new patient, make a tickler file with a copy of the bill set at 40 days. If the bill has not been paid by the 40-day point, follow up immediately. It’s best to find out as soon as possible if there is going to be a collection problem.

• Make regular calls. Every open account should be followed up at least once a month. Utilize a tickler file for continual follow-up until the claim is paid.

• Utilize your reports. An aged-accounts receivable report should be your most important tool. Additionally, an open-claims report will be more specific as to which claims still remain open.

• Create frequent-letter templates. If you find yourself sending the same type of letter repeatedly, create a form letter that can be filled out quickly.

• Know your rights. Go to as many insurance seminars as you can. Use a coding book for chiropractic procedures. Understand that when you stand up for your rights and persist, the insurance company is more likely to pay because they know it will be costly not to.

• Bill for what you do. You can no longer give your services away. Become familiar with all coding and don’t be afraid to charge for everything you do. Insurance companies do not thank doctors for saving them money. They are all business and you should be also.

Susan Hoy is an award-winning team trainer and consultant. She can be reached at 215-674-0130; suzzhoy@aol.com; or through her Web site at www.beefitup.net.