Many crucial points support health care, including efficient instruments, skilled doctors, and proper treatment. Healthcare is at a continuous evolving stage. With the introduction of different treatments to medicines, health care is improving each day. To support the effective running of health care in the country, revenue cycle management is introduced. It’s impossible to record everything about a patient on pen and paper. In this era of technology, health administration is binding the details of the patients with precise details.
This helps in keeping the track of all the patient’s revenue records. All the details are recorded from the appointments to the final payment details. These are the clinical and administrative functions that are responsible for the collection, management, and capture of each patient’s service revenue. It is a live record that shows the life cycle of any patient. It is well documented and protected, in case of any emergencies it can be used to fetch patient’s records.
The revenue cycle management starts with the first appointment of the patient to the final payment received by the patient. Any arising error in the revenue cycle can lead to no payments or delay in payments. This needs to be regulated precisely and with the most care. Many health care organizations hand over the revenue cycle to companies handling complex processes. Proper functioning of the revenue cycle ensures reduction in errors and hence maximizes the rate of reimbursement from the insurance companies.
The team is also responsible for abiding by the coding regulations such as ICD-10. This code ensures that the insurance is processed and the compensation is done for the practitioner. One of the most important aspects of revenue cycle management is to abide by the medical coding regulations. This states that a proper track of the treatments that are provided to the patient and for what reason, has to be recorded properly.
The possibility of a human error while recording every detail of a patient is undeniable. There can be several reasons that result in an error such as miscommunication, the existence of duplicate data, missing information, coding complexities, and miss spellings. These minor errors can lead to a huge revenue loss. To avoid such a mishap the revenue cycle is implemented, which is giving fine results. It saves much staff time and makes reimbursement timely. This is a way to focus and improve the organization’s revenue management. It is done by early detection of any possible issues and preventing any miss communication.
This is a great step that is saving plenty of time by automated duties like payment, appointments, regarding claim denials and providing insights on the claim denials. This also helps the employees to know about the possible reasons for claim denials. It helps the patients by proper reimbursements and helps to acknowledge the insurance status. This is one of the most efficient and effective ways of regulating revenues for any healthcare. Implementing this management will ensure the smooth functioning of the organization.