This week our Healthcare Insider blog is going to post daily tips for providers to improve their bottom line rapidly. In an era where revenue is decreasing but costs are increasing, staying in business ( making a profit) is even more difficult. Let’s discuss healthcare insider secrets for healthcare providers to improve profitability.
Payors are increasing and decreasing payments through reduced fee schedules or increased denials as well as an increasing number of uninsured patients. Payors including governmental payors are at the same time requesting increased information from providers and increased rules which increase the cost of delivering healthcare services. We will address five areas that if addressed can rapidly improve your company’s bottom line.
Healthcare Providers to Improve Profitability
We will start with the big issue of Nthe show I recently met with a few clients and discussed their no-show rrates They range from a low of 20% to a high of 45%. Although the client with the no-show rate of 20% was very proud of their “low ” no-show rate. Even with this “low” no-show rate, the practice as losing hundreds of thousands of dollars per year.
Interrupt the flow of patient care and impede clinic productivity
A missed appointment amounts to reduced billing and missed revenue
Four steps an organization can implement to decrease their no-show appointments
Charge for Missed Appointments
1. Strategy works well for reduction of follow-up no-shows
2. Ineffective for missed intakes
3. Billing missed appointment fee not fee for scheduled service
4. Billing insurance companies for services not rendered is illegal
5. Helps track no-shows
1. Recognize that any activity that reduces the frequency of no-shows is a revenue-generating activity.
2. Make reminder calls for upcoming appointments
3. It works best when reminders reach the consumers one to three days ahead of their appointments
4. Follow up on recent no-shows
5. Call patients who failed to appear this week
6. Survey them as to the reason for their missed appointment
7. Reschedule the next appointment
1. Since no-shows are now being charged even a minimum fee one can track this activity more easily
2. Analyze no-show statistics
3. Use this knowledge to target reminder efforts
4. Use this knowledge to change scheduling
Overbook: This is an effective strategy to protect revenue from no-shows
1. Overbooking requires a good understanding of your no-show statistics
2. Wave scheduling
Using these four-step practices can reduce no-shows and improve their bottom line. Please contact us to sign up for a free practice evaluation.