It can be overwhelming and frustrating to realize that your practice is not performing as well as it needs to financially. Many doctors are busy seeing patients during the day, and adding more tasks to the list feels impossible. A revenue cycle analysis is one way to identify problems in your revenue cycle, develop solutions to fix them, and implement changes to ensure lasting success. What are some of the common things that are uncovered during a revenue cycle evaluation?
Poor Denied and Rejected Claims Management
Denial rates are increasing, and the average rate of claim denial for many healthcare practices is a whopping 20%. Sixty percent of those returned claims are never submitted, despite 67% of denials being recoverable with the proper documentation or information. If you do not have a streamlined way of processing denied claims and resubmitting them, you are part of the overwhelming number of doctors who leave money on the table.
Overly Complex or Underused Analytics
Modern practice management software offers endless reports and analytics, but more data does not necessarily lead to better decisions. Many practices either ignore these reports entirely or spend time reviewing metrics that have little impact on revenue. A structured revenue review helps simplify analytics by focusing attention on the few key indicators that actually affect financial performance.
Inefficient Patient Processes
How accurate are your patient records? Do you find that addresses, phone numbers, and insurance information go uncorrected until a claim is returned? Many practices struggle to update patient information and keep it updated throughout the year. A financial evaluation can teach you how to proactively update information, correct it rapidly, and submit accurate claims every time. This can also improve the patient experience and make your patients happier.
Evaluate Your Revenue Cycle
Consult CMF’s DIY Revenue Tools guide physicians through a focused evaluation of the key workflows and analytics that affect collections, helping you identify where revenue may be slipping through the cracks. Start with our Free Assessment to begin improving your practice’s financial performance.