Meeting Consumer Demand - Improving Patient Financial Experiences with Automation
An Accenture report reveals that patients will continue to return to a healthcare provider because of two main things: care access and ease of doing business. With rising patient expectations and complex billing systems, healthcare providers are feeling the pressure to ensure the “ease” part of doing business, especially financial transactions.
Luckily, healthcare payment automation has now entered the chat. This advanced process simplifies billing, streamlines practice management, and improves financial outcomes for providers.
Below, we’ll explore the benefits of automated billing systems in healthcare, including their impact on patient payment plans and improving cash flow.
Key Takeaways
- Healthcare payment automation streamlines the billing process, reducing errors and enhancing efficiency, improving patient satisfaction.
- Automated systems enhance transparency in medical bills by providing detailed breakdowns of costs, fostering trust between patients and healthcare providers.
- Payment automation lowers administrative burden and increases cash flow, allowing providers to allocate resources more effectively and invest in patient care.
Why Focus on Your Patient’s Financial Experience?
A survey found that 90% of patients say loyalty relies on their financial experience. Why? Patients are navigating high medical costs, struggling to interpret bills, and jumping through confusing payment hoops.
To ease the frustration, they expect transparency, accuracy, and to pay or resolve medical bills in just a few clicks.
Unfortunately, many healthcare organizations still struggle with outdated, manual billing processes. These can lead to payment delays, errors in billing, and frustrations that can put a dent in patient loyalty.
This is where healthcare payment automation makes all the difference.
Automated platforms streamline internal operations and reduce administrative burden, significantly improving patient satisfaction. Read on to learn more about how these systems work.
Automated Billing Systems in Healthcare
Healthcare payment automation uses an integrated system that connects patient records, insurance claims, and billing data. Here’s how the process typically works:
- Patient records are securely stored in an integrated electronic health record (EHR) database.
- Payments are automatically estimated based on insurance coverage and service fees.
- Patients receive digital invoices through email or text, allowing them to pay through patient portals or online.
- Missed payments trigger automatic reminders or offer flexible payment plans to determine balances.
These systems simplify what was once exhausting and tedious, especially for medical billing managers.
Key Benefits of Healthcare Payment Automation
Now that the general automation process in healthcare is covered, how can this approach help your practice? Below, we reveal seven compelling reasons you should consider automating patient payments.
1.Reducing Billing Errors with Automation
Manual billing processes are prone to human errors, from incorrect patient information to mismatched insurance details. These mistakes not only delay payments but can also taint patient trust. Automated billing systems in healthcare minimize mistakes by accurately digitizing the entire process.
For example, with tools like automated payment tracking, the system handles all claim tracking between provider, patients, and health plans. The feature enables practices to follow up on claims or payment status while minimizing the risk of errors.
2. Fostering Patient Satisfaction with Flexible Payment Options
According to a study, 59% of Americans worry about paying for healthcare. The study’s findings also point to a clear theme: if payers and providers don’t help patients pay their bills, it hurts loyalty, patient health, and revenue cycles.
Providing convenience and flexibility for patients during this stressful time really helps, and healthcare payment automation delivers just that. Features like personalized payment plans, online portals, and mobile options provide a smooth and stress-free financial experience.
For example, DrChrono EHR has a Payments feature directly embedded in the workflow. Why is this beneficial?
- Simplifies record-keeping. Creates digital invoices to send and receive online payments in one transaction.
- Streamlines workflows. Automated patient statements and payment acceptance through the platform simplify payment workflow.
- Accepts payments anytime, anywhere. Interact with patients online and on their mobile devices. Providers can text a payment link to a patient’s phone to collect pre-payment, copay-deductible, or balance.
3. Timelier Patient Payment Collections
One of the biggest challenges healthcare providers face is timely payment collection. One survey reveals that nearly 50% of healthcare leaders said timely patient collections are the most significant challenge in revenue cycle management (RCM).
With automation, providers can face this challenge head-on by implementing scheduled reminders and recurring payment setups to ensure better compliance.
The result? Reduced patient payment delays and higher collection rates without continuously chasing overdue balances. Patients can get on with their lives without medical debt, and providers can see a healthier financial outcome.
4. Lowering Administrative Burden with Automation
Manual billing gobbles up time and resources. Even with this knowledge, providers still use this traditional method. In fact, according to a recent report, 71% of providers collect payment from patients with paper and manual processes.
Automating administrative tasks lightens the workload of billing teams. For example, integrated medical billing software in EHRs can automate tasks like processing claims, sending out invoices, or managing payment plans.
With this help, providers and staff can redirect their focus toward patient care, improving operational efficiency across the board.
5. Increasing Security and Compliance
Data security and patient privacy are critical when managing sensitive healthcare payments. When handling patient payment information, using a trusted payment processor that aligns with the Payment Card Industry (PCI) and HIPAA standards is essential.
Just as HIPAA safeguards protected health information (PHI), PCI standards aim to protect credit card data.
The good news? Payment automation solutions are designed to be PCI and HIPAA-compliant, ensuring that all payment-related data is securely processed and stored. This protects patients and safeguards healthcare providers from potential legal repercussions.
These tech advancements also reduce costs associated with security breaches and build patient trust, enhancing overall patient satisfaction.
6. Boosting Cash Flow with Automated Payments
Medical Economics states that research shows that practices only collect 50% to 70% of patient payments after patients leave the office. For healthcare providers, collecting at the time-of-service is essential to keeping operations running.
Automating payment systems reduce these delays and ensure a consistent cash flow. In other words, providers and medical staff spend less time chasing down overdue bills. With on-time payments, providers can allocate resources more effectively and invest in patient care.
Automating payments can also save practices money. The average time to process a manual paper-based transaction is 8 minutes and costs roughly $3 more than an electronic transaction.
7. Enhancing Transparency in Medical Bills
One study reveals that 66% of adults in the U.S. worry about unexpected medical bills. But concerns do not end there. Patients also find their medical bills confusing and lack transparency regarding costs.
Automated billing systems can alleviate these problems and offer detailed breakdowns of costs, helping patients better understand their charges. Here’s how:
- Itemized medical bills can help spot mistakes. They provide a comprehensive account of every service and charge.
- By providing detailed information on charges, itemized bills serve as a legal record, minimizing misunderstandings and resolving billing issues.
- Automated payment systems enable healthcare organizations to offer real-time billing information, contributing to transparency and patient trust.
Take the Next Step in Payment Automation
Healthcare providers that adopt automation today will be well-positioned to meet patient expectations tomorrow.
Is your healthcare organization ready to transform the patient’s financial experience? Whether improving payment collections or streamlining workflows, automation sets your team up for long-term success.
Contact a DrChronos Payments team member to explore the future of healthcare billing today!