Sooner or later, most medical practices could benefit from turning to a collections agency.
There are many reasons to turn to a collections agency in Colorado on behalf of your medical practice. The right collections agency can help you with your most challenging accounts, track down patients who have moved away, take some of the stress off of your billing team and, most importantly, help you collect a lot more of the money that is owed to your practice! But, how do you know when it’s time to turn to a third party for your collections? Here are a few signs to watch out for:
#1. You have a hard time getting patients to pay upfront.
Practices with the highest rates of success from a collections standpoint are the ones that are able to collect when their patients are still physically in the practice, either before or after they have been seen by the physician. In fact, studies have shown that, once a patient leaves the premises, the chance of collecting what they owe drops by approximately 20 percent. Some practices prefer to mail statements; after all, it’s easy, and no one from your staff has to confront patients about paying their bills. But, unfortunately, it’s just not as effective, and if you are finding that you are having trouble successfully getting payment from patients upfront, it might be time to contact a collections agency.
#2. Your patients aren’t responding.
Not every patient will need to be sent to collections, and that’s a good thing, as it’s much more cost-effective for your practice to collect in-house as much as possible. However, there will always be patients who don’t respond, no matter how many bills you’ve sent them or how many times you’ve called them. And, once you’ve already wasted your resources trying to get ahold of them multiple times, the whole thing becomes more of a struggle than it’s worth for you to attempt to deal with on your own. These difficult situations are exactly why collections agencies exist in the first place; so don’t hesitate to call the right agency when you need one!
#3. You can’t find a patient.
In the vast majority of cases, when a patient moves, they don’t update their contact information with their doctor’s office, even if it’s their primary physician! Because of this, collecting a payment from a patient who has moved can be extremely difficult. One great way to find customers who have moved without updating you on their new address is to use the ancillary service endorsements from the United States Postal Service. When you use these endorsements on your bills, USPS will forward them to the correct addresses for a fee. But, keep in mind that this is only effective if the patient actually takes the time to fill out a change of address form with USPS. If not, then your best bet is probably to hire a collections agency.
#4. Your practice is losing revenue!
The biggest and most obvious reason to contact a collections agency is that unpaid medical bills are causing your revenue to take a hit. Many physicians have found themselves putting long hours into their practices in order to keep them afloat, but they’re still losing revenue. As high-deductible insurance plans become more and more popular, there has been an increase in unpaid medical bills for practices all over the United States. If this sounds like your practice, then it’s time to find a solution that actually works!
If any of the above signs are applicable to your practice, then it’s time to stop watching your revenue slip through the cracks and start finding a solution that you can feel good about. Our collections agency in Colorado has a recovery rate that’s two to three times that of the national average. Experience the difference with Bonded Business Services. Contact us today to get started.