How to Boost the Revenue of Your Medical Billing Company

Medical billing companies often walk a tightrope regarding claims processing and revenue cycle management. It so happens that claims rejections eat into profits and revenue, so the billing company cannot recover costs and make the expected profits. Claims do not mature into payments primarily for two reasons: a. the payer doesn’t receive the claim, and b. incorrect claims. Furthermore, issues such as inappropriate medical billing staffing and inadequate staff strategies work against revenue augmentation in billing companies. Nevertheless, medical billing companies can improve their revenue and obtain significant profits if they follow the proper steps. Here are some steps in which a medical billing company can improve its revenue and enjoy a profitable business:

1. Adhere to Compliance Standards
Medical billing companies should follow compliance and regulations such as HIPAA, one of the most essential and stringent healthcare regulatory standards in the USA. It is mandatory to safeguard the privacy, security, and confidentiality of a patient’s health records. A medical billing company must ensure you keep such information in strict confidentiality.

2. Concentrate on Client Relationships
Client relationships form an essential aspect of retaining revenue with your billing company. Clients usually remain with a company because of the quality of service they receive. Reducing the risk of losing clients depends significantly on how you manage your relationship with clients and make your billing company more valuable.

3. Control Employee Costs:
Another way to boost the revenue of your billing company is by controlling employee costs. A good thumb rule is that for every $100,000 in revenue, you should have one employee. So if you have $1 million in revenue, you should have around ten employees. Also, controlling your labor costs has a significant bearing on your revenue. If labor costs exceed 50%, you may spend too much on your employees. So, controlling your labor costs can go a long way in increasing your revenues. If possible, hire remote a remote medical biller to cut costs further.

4. Train Your Staff:
Inexperienced coding and billing staff are likely to commit more errors. Erroneous claim forms are liable to be rejected by insurance companies, whereas a trained medical billing expert is less likely to commit serious mistakes. You must train your staff and provide them with the proper knowledge involving medical billing procedures and claims processes. So, to avoid such pitfalls, ensure your team is appropriately trained so that you can manage your revenue cycle smoothly and on time. A trained medical billing expert is less likely to commit serious errors.

5. Follow-up on Time:
In the hustle and bustle of the daily routine in a typical medical billing company, it isn’t easy to follow up on claims and related processes. You must follow up on time because incorrect claims may get rejected, and not following up on such claims means a severe loss of revenue. Keep an eye on everything around you and ensure your revenue cycle is not affected.

6. Verify Payments Correctly
Ensure there are no delayed payments for every claim you process. At the same time, ensure that you receive the correct prices each time. Delayed payments affect your revenue cycle, and it’s your responsibility to ensure that every payment is correctly managed and accounted for. Timely payments help improve your revenue cycle and help to keep your payment cycle smooth. If you get underpaid, it’s your responsibility to check with your payor and ensure that it is challenged so that you get a complete settlement for the claim.

7. File Timely Claims:
Ensure you always adhere to the time limit for filing your claim. As a medical billing company, it is your responsibility to file timely claims, so claims that are not filed on time mean a loss of revenue. It’s also unethical and unprofessional if your company habitually defaults on timely claim filing. Therefore, keep a tab on all claims and always ensure you file on time. This practice will always help you boost your revenues and ensure timely profits for your company.

8. Focus on Revenue Generation Strategies:
You should concentrate on revenue generation rather than just focusing on cost-saving strategies. For example, you can work on decreasing the time for filing claims so more claims can be filed with the same duration. Therefore, this will help you cut time and allocate resources successfully. Thus, in an increasingly globalized world, revenue generation should be a top concern to improve revenue cycles and ROI.

Wrapping Up:
So, if you genuinely want to boost revenue for your medical billing business, the points discussed above need to be a concrete part of your business strategy. Every medical billing company is different and has its methods and procedures in place. Still, it should be able to leverage the expertise to excel in a competitive scenario today. OmniMD can help you hire affordable, remote medical billing professionals. The company specializes in affordable remote medical billing workforce solutions. Contact us to know more!