From the moment the HITECH ACT was enacted by congress many physicians have rushed to adopt Electronic Medical Records systems to obtain Meaningful Use incentive funds. Because of this singular focus, other areas of a physician’s practice have taken a back seat.
Because practices were focused on EMRs, the most permanent and overarching business concern of every medical practice, Revenue Cycle Management (RCM) has fallen through the cracks. Providers should refocus on other important issues facing their business.
The Centers for Medicare and Medicaid Services reports that medical practices fail to collect somewhere in the neighborhood of 18% of submitted claims. The reason that percentage is so high is that many providers rely on outmoded RCM systems that lack the most useful features that ensure proper payments. If a single doctor practice adopts an EMR system and qualifies for the full amount of Medicare incentive payments, it will receive $44,000 over a five year period.
But if that same practice is failing to collect on 18% of its claims, the cost could be $62,000 annually or $310,000 over the same 5 year period. Now that’s “meaningful money”!
EMR adoption is important, but effective management of claims, payments and collections is what keeps the lights on in a medical practice. Call us for more information or go to our website to learn more about our billing solutions.
Iron Comet Consulting is a certified Platinum Reseller for McKesson and is located in Stockbridge Georgia. We are a full service medical IT and billing company.
Iron Comet Consulting, Inc.
Phone (770) 506-4383