| One of the blogs that I like to read, The Healthcare IT | | | | physician receives only 60 cents. |
| Guy, posted some good thoughts last week about the | | | | Then, consider the impact of denials: Gross charges |
| final MU rules for EMR and what physicians should do | | | | denied by payers have grown over the last decade to |
| next. I liked his advice, which included: | | | | 14-18% of all charges. That translates to $118,800 of |
| - "Don't be in a hurry to make an EMR/EHR decision | | | | lost revenue for the typical primary care physician. |
| because of incentive payments; even if you start in | | | | Some other food for thought: |
| 2012 you'll be eligible for full payments from Medicare | | | | - Denied, rejected, resubmitted and underpaid claims |
| ($44k over 5 years) and you can start as late as 2016 | | | | can cost you as much as $100,000 per month |
| to get full payments from Medicaid ($66k+ over 5 | | | | according to the AMA. |
| years). If you're making EHR/EMR decisions based on | | | | - Your practice could be losing more than $75,000 per |
| other business benefits and not incentive payments | | | | year in denied claims that are never resubmitted, |
| then you should continue that research and | | | | based on multiple studies confirming that many |
| decision-making process." | | | | practices do not resubmit up to 50% of their denied |
| - "Do be in a hurry to use technology that helps with | | | | claims. |
| office automation first (like document management, | | | | - Underpayment of approved claims has historically |
| patient relationship management, etc.). General office | | | | been as much as 35% lower than the contract |
| automation technology won't qualify you for incentive | | | | amount. |
| payments but it will help reduce your costs and you'll | | | | What all of this means is that you could be bringing |
| run your business better. If you use the proper | | | | more money to your bottom line-without adding a |
| technology you save more in one year than you'll get | | | | single new patient or working another hour longer-or |
| back from incentive payments in 5 years." | | | | chasing the EMR incentive. Naturally, we believe the |
| His second point is especially important, from my point | | | | best way to do this is by fully utilizing the best possible |
| of view. Too often, we are entranced by the latest | | | | medical billing software and insurance claims |
| idea to generate revenue or build business, and we're | | | | processing best practices to insure that your claims |
| distracted from the tried and true techniques for | | | | are clean, your appeals submitted and collections are |
| maximizing revenue we've already brought in the door. | | | | as high as possible. And if you do those things, you will |
| A doctor I know has a good expression for it: | | | | not only put more in your pocket than you will with the |
| "Stepping over dollars to pick up pennies." | | | | HITECH incentives, but you will have a better-run |
| A good example of this is that $44,000 incentive, | | | | practice overall, as The Healthcare IT Guy mentioned. |
| which every EMR company is waving in your face. | | | | I'm not saying you should ignore EMRs and other |
| The $44,000 is a tantalizing figure, no doubt about it. | | | | technology. You should certainly seriously consider an |
| But did you realize that you could earn a great deal | | | | EMR for your practice, if it makes sense for your |
| more than that through improved medical billing and | | | | practice. |
| collections? | | | | We just don't want you to be distracted by that shiny |
| Let's start with the fact that it's not uncommon for | | | | object and miss out on money you've already |
| medical practices to report a gross collection rate of | | | | earned-and deserve. |
| 60 percent or less, according to The Physician Billing | | | | Because we believe you deserve the dollars...as well |
| Process: 12 Potholes to Avoid in the Road to Getting | | | | as the pennies. |
| Paid. That means for every $1 of services billed, the | | | | |