Improve Payment Compliancy with StrongBox eSolutions
Healthcare providers and insurance companies are caught between two longstanding economic trends. While healthcare costs continue to rise (along with the rate of chronic illnesses, which accounts for 85 percent of those costs), wages have remained relatively stagnant for many Americans once inflation is accounted for.
To continue to access healthcare, millions of Americans are signing up for high-deductible health plans. Those plans put a larger financial burden on patients who may have to pay $5,000 or more out of pocket before insurance benefits kick in.
The percentage of individuals enrolled in such plans rose from 25.3 percent in 2010 to 43.2 percent in the first nine months of 2017, according to the CDC. Subsequently, payments from patients now make up a much larger share of hospital revenue. As the deductibles go up, the rate of patient payment compliance goes down. While that trend is worrisome, StrongBox RCM + Patient Finance provides multiple solutions that are proven to improve payment compliance rates for healthcare providers.
Proven Solutions Through StrongBox eSolutions
StrongBox RCM + Patient Finance provides patients with what they want – convenience and flexibility to pay their bills. We offer convenience through installment plans, our patient payment portals, and accessibility through smartphones or other online devices. Our online platform delivers flexibility through self-funded payment plans that utilize the patient’s financial card on file and/or bank account. We also offer third-party financing alternatives such as Select and Pro.
Our online solutions lower risks for providers, from a collection standpoint. Our users also benefit from accelerated accounts receivable payments, higher patient satisfaction, and higher patient retention.
Why Are Patient Payments Down?
Healthcare costs (and the portion paid by patients) are rising, but payment and financing options often don’t keep up. Since 2012, revenue attributable to patient balances after insurance have increased steadily for health systems nationwide.
The vast majority (80 percent) of executives who were surveyed by the Healthcare Financial Management Association last year said that trend will impact their organizations. Their concerns appear to be well-founded. Payment rates among patients are generally low.
A 2017 Crowe Horwath analysis found patient account balances below $1,200 have a payment rate of 40.1 percent. Researchers identified lower payment rates for higher balances. The payment rate among patients with high-deductible health plans with balances of $1,451 through $5,000 was 25.5 percent.
Healthcare costs continue to rise by around 4 percent each year. An aging population will only add to the cost of providing healthcare to more than 300 million Americans. Total U.S. healthcare costs per year total $3.5 trillion, equal to around 18 percent of GDP.
Learn How StrongBox Can Improve Your Medical Business’ Payment Compliance
We believe that the vast majority of patients intend to honor and pay their medical bills, but many of them need to do it over an extended period of time. Our online billing platform is tailored to the patient’s financial capabilities, allowing him or her to apply for financing or to make payments when it is convenient. The results improve both patient payment yield and overall patient satisfaction.
If you are ready to learn how StrongBox eSolutions in Boca Raton, FL can improve patient payment compliance, contact our office online or call (855) 468-7876.