|
How
do I select a billing service?
|
| A. |
The
service should fit or complement the size
of your actual practice. Try
to get a basic idea of the size of the firm.
A solo practice will most likely have greater
success with a small to medium-sized billing
firm. Obviously, a solo family practitioner
would probably not be very well served by
a publicly traded firm.
|
| B. |
Avoid
long-term binding contracts. You
should be free to terminate your agreement
any time within 30 days written notice.
The agreement should clearly specify what
each side will do for the other. Make sure
the agreement assures that upon termination
you'll receive a highly detailed
account receivable report ," by patient.
" |
| C. |
Ask
for references and call the other
providers! |
| D. |
Inquire/investigate
the actual owner of the company.
Ask to speak with the owner directly. |
| E. |
Avoid
firms who offer too many different types
of service. Medical billing
is a very highly specialized field. Companies
who offer, collection agency services, payroll,
financial consulting, tax consulting, malpractice
insurance, marketing services etc. etc.
are not in my view focused enough on what
they're there to do. Collect your money! |
| F.
|
Ask
other physicians.
Keep
open mind about this one because physicians
who are happy with their billing company
do not necessarily want them to grow and
generally like to keep a low profile on
this issue. |
| G.
|
Is
the billing service for sale?
Try to ascertain whether or not the firm
has recently been sold. In your contract/agreement
you should request to be notified within
30 days of the pending sale. In my experience
billing services are constantly being bought
and sold. Sometimes the acquisition is a
positive thing but quite often the merger/acquisition
can be very detrimental. You should at least
be notified and given ample time to make
a proper decision on whether you'll stay
with the new firm or select another. |
| H. |
Where
will your checks and correspondence be mailed?
This delicate and important issue need not
be as complicated as it appears. Many physicians
for obvious reasons are reluctant to allow
checks and correspondence to be forwarded
directly to their billing service. Some
reputable, high-quality billing services
will not even provide services to clients
who insist upon having the checks and correspondence
mailed to them directly. I'd like to spend
a few moments on this important issue and
explain the ramifications of exactly where
your checks and correspondence will be mailed.
Maintaining the integrity of your accounts
receivable is crucial! If your office routinely
fails to properly mail copies of checks
and correspondence to your billing company
your practice could be in grave danger of
losing control of the accounts receivable.
If your account receivable is to maintain
any semblance of financial integrity it
is crucial that billing service employees
do not spend valuable time and effort following
up on claims that have already paid and
not properly forwarded to them. Understandably,
your service may even look upon this as
an intentional effort to reduce their commissions.
Again, bank lock boxes provide a sound alternative
to this dilemma. Some practices solve this
problem by directing all checks and correspondence
to a P.O. Box keeping EOB's separate from
other corporate mail. The checks and correspondence
are mailed to the billing service,"
unopened" biweekly. This is an excellent
compromise and creates a system of control.
There are many other possible options but
the important point to remember is that
ONE entity must be completely responsible
for the validity and integrity of your EOB's. |
| I. |
Make
sure all checks and correspondence are issued
under your tax identification number and
made payable to you! Make
sure your contract/agreement specifies that
the billing service will not countersign
or attempt to countersign your checks and
correspondence. |
|
If you have any questions or comments
regarding this article please do not hesitate
to contact me at david@usemedibill.com.
This article
was written by David Duncan, president
and founder of Medi-Bill Inc.
www.usemedibill.com
|
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