The Ultimate Guide to Laboratory Billing Services
In the United States, the overhead cost of the healthcare system grows to $190 billion. However, by investing in good laboratory billing services, you’ll be able to cut some of that cost.
However, before you look at the different lab billing options, you’ll want to make sure you choose the right service.
Keep reading to discover what you should look for when talking to laboratory medical billing companies.
Benefits of Outsourcing
While you might be thinking of doing your own lab billing services, there are many benefits to outsourcing them. For example, you could reduce your operating costs and bring in more cash flow by having someone manage your revenue.
You’ll also have someone in charge of knowing all of the codes and staying up on the industry trends. Doing this could also help you cut your overhead costs and then free up your internal employees to focus on other tasks.
It’ll also help to reduce the number of coding and billing errors. You’ll have a company that has the latest software and knows all about the industry so that they can make sure your claims have little or no problems.
You’ll also be able to have your payments processed faster. Many of the companies will automate the tasks to get you faster results, but also make them more accurate.
When there aren’t as many errors, you’ll get your money faster as well.
Know the Billing Codes
Laboratory billing codes are important to know, and there are two important sets of codes. The first set is known as the International Statistical Classification of Diseases and Related Health Problems.
However, it’s also known as the International Classifications of Diseases. The World Health Organization (WHO) accepts this international diagnostic, and it’s the frame for many codes.
The second code set is known as the Current Procedural Technology Code Set. The American Medical Association provides these, and they identify different services rather than a diagnosis.
This set of codes is used for surgical, medical, or diagnostic services, but it’s only used in America. It’s also commonly used for insurance companies and billing services.
When you choose a company to handle these services, ask them which billing codes they work with.
Know the Lab Billing Cycle
You also want to find laboratory billing services that know about the lab billing cycle. There are normally nine phases in this cycle.
The first step is to verify data. They’ll have to discover all of the patient and insurance data that is related to a certain bill.
Next, they’ll need to collect the fixed balance. This is generally owed by the patient before any services are administered.
After that, the medical claims will need to be prepared. They’ll need to manage the claims that are based on data accumulated from the verification stages. Then, they’ll send it out to the payer or the clearinghouse.
If they receive any rejections, then they’ll have to deal with it and possibly re-submit claims. If there is something that is denied, they’ll have to track it down and document it.
They’ll also follow up to see if there are any reasons that there is a denial. If there is a problem with a patient, they’ll have to take statements to try and resolve the charges.
After that, they’ll have to get payments from the insurance or the patients. The posting installment statement is when they’ll monitor the claim status and make sure everything is okay.
Do Your Research
You should also do research in the industry to find the right company to outsource that job to. If you’re struggling with a lot of debt or account receivables, then you might want to outsource your services.
However, you’ll need to find the right company, and this will require a lot of internet research. You should read their online reviews, feedback on social media, and any testimonials from the client.
You can also ask the company if they have any references that you can contact to see if they’re a good company to work with. If they don’t have any references or reviews, you should keep looking for a different company.
Ask About Charges
You’ll also want to ask about different charges that they might have. You’ll want to ensure that the charges aren’t too much so that you can still have revenue.
In general, these companies will charge a fixed percentage from the revenue that they collect for you. So make sure you ask what percentage they’re going to charge.
Ask if there are any hidden charges as well. There are some places that will try and hide hidden fees. When you start using this service, make sure that they are collecting the correct amount for you and not stealing money from you.
Ask About Staff
Ask about the staff of the billing service. They need to have experience and know the medical lab industry. It’ll be even better if they have knowledge about the current coding.
They should also be able to comply with all compliance standards and stay on top of all the industry standards.
If their staff messes up on a medical claim because they don’t know medical codes, it will end up in you losing revenue and possibly having your claims denied.
Discover More About Laboratory Billing Services
These are only a few things you need to know about laboratory billing services, but there are many more things to consider when choosing the right outsourcing company.
We know that running a laboratory can be stressful, but we’re here to help you out.
If you are looking for more tips to run your successful laboratory, check out our website!
