You’ve just been alerted to a handful of medical billing errors that your team has made, and you suddenly feel a pit in your stomach. It’s not just your name that’s online. It’s your organization’s money, too.
Research shows that physicians end up losing about $125 billion every year due to medical billing errors. And unfortunately, these errors can damage your hospital’s reputation and expose you to hefty fines and penalties.
The good news? It may be possible to fix your medical billing issues. Here’s a rundown on three common medical billing errors and how to fix them.
Let’s get started!
1. Information Missing or Incorrect
One of the most medical billing and coding errors is leaving out essential information from your submission.
This crucial information may include demographic information, like a patient’s complete address or birthdate. If this information is missing, this may keep the claim from being processed in a timely manner.
In addition, you may accidentally use an outdated code on a claim. This can likewise cause the claim to get delayed or denied.
2. Late Filing
The top medical billing mistakes also include filing a claim too late.
As a general rule of thumb, payers require claims to be submitted within a certain period of time. For instance, you may have 60 to 90 days to file an initial claim for a patient. Then, if the claim ends up being denied, you might have 45 days to file an appeal.
If you don’t file the patient’s initial claim on time, then writing off this amount is your only option.
Fortunately, fixing this problem is relatively easy. Simply develop a system where you get an automated alert when a medical claim approaches its time limit.
3. Uncovered Services
Finally, claim denials may occur if patients’ insurance companies do not cover the procedures for which you are submitting claims.
Unfortunately, this is a costly error, as you essentially won’t be paid for the services you’ve rendered to your patients.
To avoid this issue, you’ll need to review your patients’ coverage details in depth before you treat them. Also, be sure to contact their insurers if you have questions about what procedures are or are not covered.
Note that you could also outsource your medical billing function to have an expert third party take on this responsibility. Visit medusarcm.com/blog/is-outsourcing-medical-billing-a-good-idea-the-data-say-it-is/ to learn more about the benefits of outsourcing.
Address Medical Billing Errors With Confidence Today
When you operate in the medical billing field, a seemingly small error can, unfortunately, come with big financial consequences. Fortunately, with patience and determination, it is possible to identify billing errors’ causes and then fix these problems systematically.
Consider the above-listed common billing errors and their solutions as you seek to protect your organization’s bottom line in the months ahead.
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