Pros and Cons of Outsourcing Your Medical Billing and Coding Services
Outsourcing your medical billing is a huge decision with far-reaching implications.
Making the jump from in-house billing and coding to an outside company comes with a number of pros and cons:
Pros of Using a Medical Coding & Billing Services Company
Higher Collection Rate: Because medical coding and billing is our area of expertise, we have a higher collection rate than physicians, clinics, groups, and hospitals who attempt collections on their own. In fact, MPM’s collection rate far exceeds industry standards.
Faster Collection Rate: The speed with which you collect money can dramatically affect the operations of your medical practice. We collect money in an average of 22 days, well below the maximum recommended time of 50 days.
Less Headaches: With the implementation of ICD-10, there are now 69,000 medical billing codes. The complexities of medical billing and coding grow by the day. As a medical billing and coding company, MPM’s job is to monitor changes in healthcare laws and regulations so you don’t have to.
Less Overhead: To perform your own medical coding and billing effectively, you’ll need to hire a trained specialist and pay a fixed cost of salary and benefits, regardless of the ups and downs of your business. You’ll also need to invest upwards of $20,000 in EMR /EHR (Electronic Medical Records / Electronic Health Records) and medical billing software. When you partner with us, there is no overhead or prohibitive upfront fees.
More Money in Your Pocket: Even factoring in the percentage that we charge on the money we collect for you, you’ll still come out way ahead at the end of the year. We’ll bill higher fees (thanks to our accurate coding), and we’ll collect higher percentages (thanks to our efficient collection efforts).
Cons of Using a Medical Coding & Billing Services Company
Difficulty of Change: Any major change that you make in your medical practice has the potential to backfire, making a bad situation worse. Outsourcing might require a change in your employees’ duties, and we appreciate that change is not always easy. At MPM, we understand what a big undertaking this can be, and we have the professionalism and experience to help make the move as smooth as possible.
Loss of Control: If you’re accustomed to controlling all of the variables in your medical practice, switching to an outside company can be unnerving. At some point, though, you may want to acknowledge that medical billing isn’t your core competency or interest, and that it’s time to hire a firm. At MPM, we have more than 60 years experience in medical billing. We’ll be there to take care of you when you’re ready to opt for more efficiency in your medical billing operations.
Privacy Concerns: You may be struggling with your medical billing, but are resistant to making a change because you’re embarrassed about your financial situation and/or concerned about privacy issues. We can assure you that you’re not alone in this. Many physicians, clinics, and groups that hire us to perform their medical billing are in a tight spot, with mild to severe cash flow issues. Taking steps to improve your cash flow is nothing to be embarrassed about. Our goal at MPM is to make that change as seamless as possible and improve your cash flow as quickly as possible, no questions asked.