10%20Tips%20For%20Better%20A/R%20Management

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10 Tips For Better A/R Management
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10 Tips for Better A/R Management

• Tip 1 You Cant Manage What You Cant
  Measure
• Basic Practice Management Report
• For the Practice
• By Individual Physician
• On a Comparative Basis
• Clinical Activities Reports
• Accounts Receivable Reports

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What to Measure

• Gross Collection Percentage
• Net Collection Percentage
• Days in A/R
• A/R Ratio
• A/R in excess of 90 days old
• This year better than last year?
• Clinical Encounters

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10 Tips for Better A/R Management

• Tip 2 Understand and Manage the Billing and
  Collection PROCESS
• Appointment to Service
• Service to Billing
• Billing to Collection
• The Sponge Phenomenon
• Have a Written Policy and Procedure Manual for
  Billing Collections

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10 Tips for Better A/R Management

• Tip 3 Dont Buy a Crappy Practice Management
  Billing System
• Any system can bill but can it help you
  collect?
• The Key Information Reporting

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10 Tips for Better A/R Management

• Tip 4 Hire The Right People
• Check References
• Conduct Background Checks
• Do Situational Interviewing

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10 Tips for Better A/R Management

• Tip 5 Train, Train, and Then Train Some More
  When Done With That, Then COMMUNICATE
• Internal Procedures and Policies
• Payer Billing Policies
• Regular Staff Meetings
• Question Do you have enough people?

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10 Tips for Better A/R Management

• Tip 6 Make Sure Claims Get Out The Door Quickly
• Benchmark for Office Charges 1 Day
• Benchmark for All Other Services 5 Days
• If Benchmarks Not Met, Where are Bottlenecks?

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10 Tips for Better A/R Management

• Tip 7 Improve Front Desk Collection Efforts
• Benchmark Front desk should be collecting at
  least 90 of daily, allowable visits
• Do You Know What Yours Is?

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10 Tips for Better A/R Management

• Tip 8 Start Follow Up Efforts Early For Unpaid
  Insurance Claims
• 25 to 30 Days
• No Such Thing as Lazy Follow Up
• Avg. Collection Benchmark for Payers 30 45
  Days
• For Patient A/R Use 10 Day Letter

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10 Tips for Better A/R Management

• Tip 9 Continually Review and Monitor The EOBs
• Shows if practices fee schedule is adequate
• Shows if the receivables management process is
  working or not
• Shows how quickly the practice is getting paid by
  insurers
• Shows if the practice getting paid according to
  contracted rates

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The EOBs

• Shows if practice is coding properly
• Shows if practice is filing its charges correctly
• Shows if practice is having problems in the
  billing process
• Shows if practices personnel are competent
• REMEMBER IN TODAYS FIXED FEE ENVIRONMENT,
  CODING IS EVERYTHING

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10 Tips for Better A/R Management

• Tip 10 Make Everyone ACCOUNTABLE
• When people say they are doing something, go
  behind them and see for yourself (are policies
  and procedures being followed)
• Make people take vacations
• Make people switch job duties for a period of time

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Questions Answers
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Thank You!

• Reed Tinsley, CPA
• reedt_at_rtacpa.com For the Files
• www.rtacpa.com For Newsletter Sign Up
• 281-379-5988