Case Study - Urgent Care Clinic’s collections increase substantially without increasing patient encounters!

Customer profile

The clinic started in the year 2005, in response to the growing need for high quality and convenient medical care in a warm, friendly environment. Some of their treatments include:

• Colds, Coughs and Flu
• Cuts and Bruises
• Earaches and Infections
• Broken Bones & Fractures
• Burns, Rashes and Bites
• Sprains and Strains
• Vomiting and Diarrhea
• Allergies and Asthma

They have 1 full-time and 2 part-time doctor’s.

Business situation

The customer's Accounts Receivables was getting older and they didn't have the time or resources to handle them. The customer finally approached Lister in September 2007 when all their in-house efforts failed to manage their A/R in a cost effective manner. The customer also faced problems in billing like:

• The billing was not completed within 24 hours
• Steep Decrease in collections
• Inconsistent cash flow
• Provide status and prediction reports to the owners on claims and collection

The Customer wanted to hand over full-service billing to Lister in 2 months if they were satisfied with Lister's AR follow-up capabilities.

The following was their AR structure before Lister was contracted.

The Solution

• The customer signed up in just 1 month for full service billing after gaining confidence in the way Lister did AR follow-up with insurance companies
• A dedicated Account Manager and Team were deputed to handle the account
• The team consisted of full time employees for medical billing, medical coding and an AR specialist
• Lister developed a medical billing process and an AR process to make sure that billing takes place within 24 hours after the doctor has seen the patient
• Lister followed-up on denied, underpaid and unpaid claims
• Issues with insurance companies were addressed and resolved fast.
• Lister maintained a knowledge base of issues and solutions and documented them in a business process manual

Benefits

By outsourcing the medical billing to Lister, the customer was able to:

• witness that the average AR days were brought down from 34 to 23 days within 6 months
• witness that the collection percentage increased from 53% to 61% within 6 months
• experience significant improvement in the cash flow as a result of increase in collection ratios
• concentrate on patient care and see more patients, with the availability of more time, and a clutter-free office
• enable employees to focus on core business aspects, instead of billing related tasks.
• eliminate fluctuations associated with backlogged claims and employee turnover
• increase operating efficiency and reduce administrative costs

The following statistics will show how Lister made tremendous improvements in increasing collection and made cash flow consistent for the customer.

These numbers show that:

• the 0-30 days bucket grew from 55% to 78%
• the 120+ days bucket decreased from 14% to 4%

The collections percentage by end of Feb 09 is 69% as against 53% before Lister started the service.

The average AR days by end of Feb 09 is 18 days as against 34 days before Lister started the service.

The customer takes home more money now even after paying Lister's fee for services.

The customer has started a franchise system and they have selected Lister for all the same functions at their franchise offices.

About Lister Technologies

Lister Technologies is an Offshore Medical Billing Company in Chennai, India providing medical billing services to physician practices, medical groups and medical billing companies of all sizes and specialties across US. Our services include, Insurance Verification, Coding, Eligibility Check, Demographic Entry, Charge Entry, Submission of Claim, Payment Posting, Denial Management and Accounts Receivables service.

Lister's medical billing professionals would be happy to answer any questions to help you with your medical billing needs. Feel free to call our toll free number at +1 866 978 0521 or mail us at medicalbilling@listertechnologies.com

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