Top 4 Strategies to Optimize Revenue Cycle Management for Maximized Revenue Collection

As a dedicated healthcare provider, you’re on the front lines, ensuring your patients receive the best care possible. And you know that every dollar counts. But what about the financial health of your practice? Are you getting the most out of your revenue cycle? The key to answering these questions lies in optimizing your Revenue Cycle Management (RCM). From ensuring timely payments to minimal claim denials, it represents the backbone of your healthcare’s growth and financial stability.

If you’re looking for some tips on how you can optimize your RCM for better patient collections and enhanced revenue, look no further, as this blog covers the top 4 RCM optimization strategies you need to know.

Top 4 RCM Optimization Strategies to Follow for Increased Revenue Collection

In the healthcare industry, managing the flow of revenue is complex and multifaceted. From the point of service to the point of final payment received, every step of the revenue cycle must be efficiently managed to maximize revenue collection. With that being said, here are four RCM optimization strategies you can follow to not only prevent the possibilities of financial losses but also enhance patient satisfaction and ensure regulatory compliance.

Proactive Patient Collection Strategies

Patient collection plays a critical role in ensuring the financial stability and long-term sustainability of healthcare organizations. However, it can be a challenge since patients have varying knowledge levels about their insurance coverages which could potentially lead to delayed payments as a result of confusion or resistance to making payments.

According to Kodiak Solution’s analysis of over 1850 hospitals and 250,000 physicians in the US, there’s been a sharp decline in patient collection rates from 54.8% in 2021 to 47.8% in 2022 and 2023. This indicates low patient collection is a significant threat to healthcare practices and there is a need for effective patient collection strategies.

If your healthcare practice is facing the same problem, you can follow these patient collection strategies:

• Implementing Transparent Pricing: Create a comprehensive list of procedures that patients can access and their associated costs. Offering cost estimates in advance will help them make better decisions. It is also important to ensure billing statements are easy to read and understand to improve transparency of all charges incurred.
• Streamlining Billing Processes: Establishing clear billing procedures and improving coding accuracy will help reduce errors and claim rejections. Using electronic claims submission systems can also speed up reimbursement processes compared to manual submissions. Along with that, you can implement a system for tracking unpaid claims and follow up with them promptly to address issues with denials.
• Leveraging Automation and Technology: Implementing an EHR system that seamlessly integrates with billing systems can help streamline billing and documentation without any errors. Self-service portals and automated payment reminders can be effective for convenience and reducing the chances of delayed payments. Expanding upon payments, electronic payment systems that allow patients to make payments through their mobiles can improve collection rates.

Improve Patient Registration and Eligibility Checks

Patient registration and eligibility checks are critical steps in the revenue cycle management process. However, they can be time-consuming and any verification errors can delay patient treatments. But there are a few ways how you can improve these processes:

• Using a Real-time eligibility tool: These tools allow you to instantly verify patient insurance, reducing the time taken from minutes to a few seconds. They can also be integrated with your practice’s existing PM or EHR system, so you don’t have to waste time switching between platforms.

Atlantic RCM provides insurance eligibility verification services to help you confirm patients’ coverage details even before they visit you for their treatments. With our extensive knowledge and experience and by following a well-defined process, we focus on helping you reduce denials and avoid claim reimbursement delays.

• Incorporate digital patient portals: Digital patient portals simplify patient registration by allowing them to enter and verify their details online before arriving at the healthcare facility, eliminating hefty paperwork and manual data entry errors. They can also access important healthcare information, which promotes higher transparency and convenience.
• AI-powered chatbots: AI-powered chatbots can expedite patient registration processes by offering them real-time assistance and information. Whether it’s registration, eligibility checks, or answering queries, they are highly effective in improving patient experiences.

Develop Patient-Friendly Payment Plans

According to a recent LendingTree survey, 45% of Americans are under medical debt, which has increased concerns regarding healthcare revenue collection management. Due to rising healthcare costs, there is a growing demand for patient-friendly payment plans that allow them to make medical payments in a budget-friendly manner. Here are a few patient-friendly plans that you can implement to improve your revenue collection:

• Subscription payment plans: Patients can opt for this option where they will be charged automatically from their bank accounts at periodic intervals.
• Mobile payment options: Mobile payments offer more convenience as they can transfer funds from any time and anywhere as long as they have a good internet connection. This can be very effective in improving collection rates.

Maximize EHR and PM System Capabilities

The adoption of Electronic Health Records (EHR) systems among hospitals in the U.S. reached 96%, indicating near-universal usage among healthcare facilities. EHRs are primarily used to eliminate medical errors, enhance patient safety, and improve diagnostics. Practice Management (PM) Systems, on the other hand, streamline billing and administrative tasks. They are also used to track patient records, process insurance claims, and schedule appointments as well.

But there are ways you can maximize both your EHR and PM’s capabilities for improved management of your revenue cycles:

1. Integrated scheduling: You can integrate your PM System’s scheduling function with the EHR for real-time updates and visibility across your practice, thus ensuring your staff is informed of patient appointments or any other changes.
2. Automated coding: You can upgrade your EHR with automated coding features that suggest the right billing codes, eliminating the possibility of denials.
3. Claims scrubbing: This feature can be used in PM systems to check for errors before the claims are submitted.
4. User-friendly interfaces: Your EHR and PM systems should be upgraded with simple and intuitive interfaces for easy navigation and simplifying data entry processes. Customizable dashboards can also optimize workflow efficiency.

Optimize Your Revenue Cycle Management With Atlantic RCM for Maximum Revenue Collection

Now that you know about the four optimization strategies for your revenue cycle management, it is time to implement them into your practice so you can ensure a consistent flow of patient collections without experiencing significant delays. Optimizing your RCM will also reduce billing errors, enhance claims processing, and improve the technical capabilities of your EHR and PM Systems for better patient management.

At Atlantic RCM, we provide you with a robust RCM platform that can help you streamline medical billing and coding. By following the four optimization strategies, you can get the best out of our service and improve your practice’s revenue cycle. Contact us today to know more!

Atlantic RCM is one of the leading multi-specialty medical billing companies in USA that serves 25+ major medical billing specialties. Our experts work across your practice in billing, collections and account receivables management, to help you succeed.

Get in touch with the leading medical billing outsourcing company to learn more. Call us at (469) 501-1500 or write to us Info@atlanticrcm.com