Do You Know Your Medical Device Total Cost of Billing as a Percent of Revenue? Are Staffing, Software, and Outsourcing Inflating Your Costs?
When assessing claim processing and billing solutions, it’s easy to miss all the various elements that comprise an organization’s total cost of billing, which can lead to too much focus on a few well-known line items. Digital health organizations, independent diagnostic testing facilities (IDTFs), and durable medical device companies should seek to understand all of the costs of billing for their application, device, diagnostic analysis, or coaching services.
This white paper specifically addresses how increasing revenue and cash collection can contribute significantly to lowering the Total Cost of Billing by reviewing:
StaffingSystem edits and claims submissionAdministration, reporting, and financial analystsCoding and classification developmentHardware maintenance, software licensing, and upgradesClearinghouse costsContractual allowances or bad debt
Those who don’t have a holistic view will try to improve their cost structure by reducing the cost of individual components — without recognizing that their actual cost may be much higher. They may overlook other, more effective means to achieving a lower cost of billing and as a result, can open the way to a significantly poorer financial picture and inferior accounts receivable performance.