Healthcare Denials and Underpayments Management Software can be a Revenue SaverOn 11th Jul 2017
Healthcare Denials and Underpayments Management Software can be a Revenue Saver
Denials are a top concern for healthcare providers of all types. Denials account for a huge amount of lost revenue and because of this healthcare denial management is a top priority. A study by Change Healthcare found that hospitals lose an average of 3.3% of net revenue per year to denials, in dollars this is an average of $4.9 million per hospital. Having a strong denial management system in place is vital with large numbers like this. Following are some of the healthcare contract management best practices to help avoid these unnecessary costs.
First, it is important to understand why claims were denied. Lack of understanding can lead to even more claims being denied for the same reasons.
Work claim denials as quickly as possible. For the best results it is good to aim to consistently take care of them within a week. A strong work flow keeps your facility on track and ahead of insurer time limits.
Keeping your hospital or medical practices’ denials management process organized is key. With so many denials and underpayments it is easy for them to get shuffled around and lost. Denials lost in unorganized systems add up very quickly. It is critical to have an organized and up-to-date system to keep track of your process. Keeping your denials organized and moving is the best way to maximize collections revenue.
Along with staying organized, it is important to keep track of your progress. By tracking progress, wins, and losses you can see what is working and what isn’t working for your organization. Paying close attention to analytics allows you to see how claims and denials are moving forward over time,which helps to increase efficiency. Tracking progress also allows your company to identify the most common issues and any payer trends. Denials may seem small initially, but once they are tracked it is common to see trends that are contributing to your loss of revenue. Being aware of patterns can help to avoid the same denials over and over, thus saving time and money in the future.
Having a denial management process can have huge benefits. A software that specializes in healthcare contract management can help to keep track of all healthcare claim denials in one easy-to-use system. Manual management of claims is outdated and not as accurate as technological healthcare collections systems. About 63% of denied claims are recoverable, using a healthcare claims management software is the strongest, most reliable way to recover this revenue.
The average denial rework costs providers about $118 per claim. By using Revenue Masters’ pennies per claim healthcare contract management software, your organization can save vast amounts of money that would have been previously lost in this process. Our healthcare revenue cycle management software is the perfect tool to easily see why claims were denied and view any trends or patterns in denials. It keeps any system organized and takes care of denials in a quick manner. The user friendly format allows you to see exactly why a claim was denied or underpaid and helps easily and automatically overturn denials and underpayments. Whether a hospital, skilled nursing facility, physicians group, or other healthcare facility, adapting our healthcare contract management software can be your most valuable tool for managing denials and cutting costs. Call us at (877) 591-2590 or email us at firstname.lastname@example.org to book your demo today!