Boost Cash Flow by Growing Hospital Accounts Receivable Collections
US healthcare providers have been under financial pressure for the past five to six years. A number of providers that could not generate profits had to close down or give up ownership. To avoid this, health systems and hospitals are focusing on growing their hospital accounts receivable collections.
Hospitals usually perform a wide range of medical procedures that are also more complex. Because of this, the dollar value of their claims is quite high. And so it is understandable why collecting hospital accounts receivable is high on the priority list for these large providers.
A recent industry report has highlighted that all HCPs that reported profits during this period had a steady flow of cash. Maintaining a steady cash flow is important. It allows healthcare organizations to make payments for daily operations.
Although healthcare profit margins have shrunk for all providers, many have been able to do quite well financially, despite challenges. Clearly, these providers are doing something different that others are not.
Therefore, in this blog, we will discuss how to grow your hospital accounts receivable collections and maintain a steady cash flow.
How to Grow Hospital Accounts Receivable Collections
Professional hospital accounts receivable services specialize in healthcare accounts receivable management. Their expertise in following-up with debtors, sending payment reminders, collecting dues, and reducing AR days helps providers to outsource all of their AR management functions. By doing so, providers save more time and money to focus on delivering clinical care while their hospital AR services partner takes care of all their AR requirements.
Outsourcing hospital AR functions is a viable alternative. However, here are a few other ways to grow hospital accounts receivable collections with an in-house team:
- Hire certified accounts receivable specialists experienced in healthcare collections
- Maintain comprehensive & case-specific SOPs for most problematic types of AR collections
- Invest in technology solutions to identify easy-to-collect dues and recover payments quickly
- Identify payers & debtors most likely to delay payments and follow a different AR management process specifically for them
- Clearly communicate financial obligations and send reminders to increase chances of recovering dues on time
- Provide flexible payment options considering the financial abilities of patients and debtors
These are just some of our accounts receivable best practices to grow hospital AR collections and maintain a steady cash flow.
To learn more about how much of your outstanding AR is actually collectible, or to find out more about our industry best cost-to-collect hospital accounts receivable, please contact Sunknowledge Services Inc., a HIPAA compliant revenue cycle management organization serving US healthcare providers and payers since 2007.
