The main point of a healthcare billing company is to increase the client’s revenue. This requires diligent and consistent follow-up and tracking of medical insurance claims and patient bills, and this is one of the main reasons for why doctors and healthcare professionals often opt to outsource their healthcare billing procedures. Healthcare billing service providers offer support to doctors, assisting them in their billing needs, enabling them to generate higher revenue.

In this article, I’ll give you a brief overview of how healthcare billing companies charge providers for the services they render.

Medical billing or healthcare billing is the process of billing patients and insurance companies on behalf of healthcare providers. This process requires communication between the healthcare provider and the insurance company. The communication begins with the initial visit of the patient and continues through various billing and coding procedures. The healthcare billing workflow is the same regardless of the size of the billing office. If the facility is huge, duties are assigned and carried out by many individuals while smaller offices may assign one individual to perform various duties.

Pricing healthcare billing services

Normally, healthcare billing companies charge providers on three bases- percentage of collection, claim submission or an hourly basis.

Several Medical billing companies that provide billing services and claim submissions or offer complete practice management services, usually charge a percentage of the amount they collect in a month. The bill for the amount charged is sent to the provider on a monthly or fortnightly basis. The percentage charged for this will vary depending on the location of the service, the client’s patient volume or the type of practice that is carried out by the provider.

Under the claim submissions method, the healthcare billing company charges you on the basis of claim submissions made to the insurance companies.

And finally, under the hourly charging method, the provider is charged on an hourly basis. This is the least preferred method of charging for both providers and healthcare billers. However, charging on an hourly basis can be useful to large healthcare providers with very low billing rates or for those who prefer this method over the others.

The healthcare billing sector has achieved a commendable growth over the past few couple of years. With all the complexity and updates coming up each day in the medical billing process, we can be sure that it will be one of the high generating businesses in the near future.