Important Billing Metrics
It is equally important to monitor the performance of your practice as well as provide exceptional care to your patients in order to become a successful healthcare provider. As a medical practice, there are a few medical billing metrics that are useful in determining your billing effectiveness and efficiency. Understanding these will help to optimize your revenue cycle and improve cash flow. We have put together a few important numbers and data to pay attention to in order for your practice to take a proactive approach so you can focus more on patient care.
1. Measure the Average Number of Days it Takes for Insurance Companies/Patients to Pay
Knowing this cycle time from claim/invoice to payment received is essential for understanding your budget and helping to determine when your practice has the funds to pay for expenses. This should be reviewed monthly to make sure you are not experiencing any roadblocks in money being paid.
2. Percent of Accounts older than 60 days
This number shows the effectiveness and efficiency of your medical billing operations in getting your practice paid in a timely manner. A significant portion of money over 60 days can indicate there is an increased number in rejections and denials from the payer as well as bad write-offs or poor collections processes in general.
3. Collections per visit
Knowing the amount your practice collects on an average visit is a good way to measure your success against the industry standard. Also, knowing which type of appointment is the most profitable will allow you to accept more of these types of appointments.
4. Net collection rate (NCR)
This metric reflects the effectiveness of your practice in collecting the reimbursement you are allowed. Calculating NCR is important to see how much revenue is lost because of factors such as non-contractual adjustments or uncollectable debt.
At EMMG, we focus on collections, so you can focus on patients.
With over 20 years of medical billing experience, EMMG will boost your revenue collections and improve your bottom line. We have the ability to integrate with most EHR systems including ADS, ECW, Epic, Practice Fusion & more. Customizable reporting packages structured to your needs allow you to quickly review the health of your business and get back to seeing more patients.
For more information on our unique services and packages give us a call at 516-338-5300. Our dedicated team will be happy to answer any questions you may have.