In the midst of the healthcare industry’s transformation to fee-for-service and value-based reimbursement, companies are looking for outsourced or vendor-created revenue cycle management services.
With the entire healthcare system bogged down with high rates of patient intake and not enough resources, revenue management becomes a must. Keep on reading for our full breakdown of how to pick the right revenue cycle management for your organization.
Revenue Cycle Management 101
In the healthcare industry, revenue cycle management (RCM) is a term used to describe the process by which hospitals and physicians bill insurance companies for the services they deliver.
Medical practitioners and hospitals use Revenue Cycle Management (RCM) to track, verify, and collect payments from the insurance companies of patients who have used their services. It also helps them communicate with their medical billing company.
Picking the Right Vendor: Check Their Presence in the Market
Knowing the organization’s age is the first and most important step in picking an RCM company.
If you’re searching for an RCM firm, it should have been around for at least five years. If you have more years of experience, you will have greater knowledge and competence.
Let’s take a look at two companies: ABC, which has been in business for eight years, and XYZ, which has just been around for two years. In comparison to XYZ, ABC has undoubtedly encountered more situations.
The benefit of having a long-standing presence is that a corporation will be familiar with both the old and new methods. Using this criterion, you may narrow your search for an RCM provider.
RCM Firm Must Have an ISO 9001 Certification
It is also a good idea to find out whether or not the RCM firm is ISO 9001 certified.
Why should we care about the company’s certification? A company may get ISO 9001 certification if it maintains a high-quality standard in all of its procedures.
This is a vital factor that you should pay attention to. The reason for this is that medical claims need a great deal of time and effort. We know that organizations with ISO 9001 certification have a well-defined process in place because they adhere to internationally recognized best practices.
Look at Their Client List
This is the second most significant factor to consider when narrowing down a sales cycle management firm. You’ll need to look into their clientele to see whether they’re good and how many they have.
The amount of customers they have serviced is referred to as “quantity.” An organization’s customers are judged on the quality of its service.
You’ll need to know your customers’ demographics, including their size, kind, and location. It is important to seek an RCM firm that has serviced a group of physicians that operate in the same location.
Because of this, it suggests that they have a lot more experience dealing with this kind of customer. As a result, they can better serve you than an RCM business that has a larger number of large hospitals in its portfolio.
Verify That the HIPAA Regulations Are Met
Patient data is protected by the Health Insurance Portability and Accountability Act (HIPAA). What’s the big deal? From a patient’s perspective, it’s critical that their medical records be secure.
Hospitals and doctors have a duty to protect the personal information of their patients. So, if you’re looking for a revenue cycle management business, you’ll want to make sure they’re HIPAA-compliant.
The RCM Company’s Claims Ratio
An RCM company’s claim success and rejection rates are difficult to ascertain.
As a rule, most corporations are wary about disclosing the details of their rejected claims. Due to a problem on the patient side, certain firms may see a higher number of rejections.
As a result, this information is tough to come by. However, we may always inquire about this during the negotiation or discussion phase. This is a good sign that they are confident and willing to provide this information, so you can narrow down your selection.
Knowing The RCM Team
Before deciding on a revenue cycle management business, it’s important to know about the people that work for the firm. The term “team” here refers to both the executive and support levels of the organization.
We need to know their goals and where they are located in order to help them. It’s also important that we know the team’s credentials and expertise in this sector if at all feasible. We will be able to tell whether they have the proper staff to assist you based on this information.
Ask About Their Payment Scale and Fees
Before settling on an RCM provider, the majority of us consider this to be the most important factor. To be honest, if the chosen company can deliver what is promised and can help you to function smoothly, then pricing should not be an issue.
Choosing a firm only on the basis of price, while disregarding the other factors discussed above, might result in a significant amount of time being spent explaining and following up on issues. Outsourcing your medical claim will be rendered useless if this happens.
When you outsource work, it’s critical to keep your spending in check. At the same time, we must not compromise on the quality of our service.
Consider Their Customer and Support Services
We need to see whether their support system is functioning properly. Please make sure we don’t get bogged down in the personal aspects of the business.
The reason for this is that organizations with a strong focus on process management are self-driving. There is no work to be done in a person-driven situation when that support person quits the company.
Many hours will be wasted before the new employee knows the system and this specific instance. Because of this, choosing an RCM business with the finest support system is critical.
Managing the Revenue Cycle: Simplified
In an effort to enhance their financial performance, healthcare companies are relying on data systems that can gather and analyze vast amounts of data to provide customized reports. Tools may assist healthcare companies to see how alternative revenue collecting routes could play out in the future.
If you pick the appropriate revenue cycle management business, you can reap the advantages of all these capabilities without having to spend a lot of money. Next step, you’ll want to check out our technology section for more tips on how to integrate this software into your current workflow.
