It's no secret that medical coding is about to get much more complicated.

So, ICD-10 is upon us, and healthcare providers may notice themselves reaching for the aspirin after considering the oncoming struggle to quickly implement systems, processes and training. Even the most optimistic observer considers ICD-10 to pose a myriad of formidable challenges, so it’s no surprise that as a healthcare CFO you have concerns about how the new coding regulation will affect your bottom line.

As more regulations affecting revenue cycle management continue to roll out, such as the implementation of ICD-10, the pressure and cost of maintaining effective internal teams is rising. As a result, healthcare CFOs have more reasons to panic about how to be a successful leader than ever before.  

4 Reasons To Update Your Revenue Cycle Management Solution

It’s no surprise that many providers’ revenue cycle management technology is years out of date and it’s likely you’re currently utilizing outdated systems that don’t entail the functionality for an increasingly complex billing landscape. As a result, you’re probably starting to feel (or maybe have been feeling for some time?) that your ability to accomplish the goals your job demands is suffering, inadequate or a total lost cause. And with so many CFOs and healthcare executive being forced to adopt an increasingly strategic approach, you may also be getting worried that your job security is waning. And you’d be correct to be concerned.

While never an easy endeavor, managing the financial department of a hospital or health system used to carry a certain level of predictability. Traditionally, CFOs carried the responsibilities of income and expense management, and of course many other peripheral duties. But, those job silos are quickly crumbling. Today, healthcare CFOs have a significantly more complex role with increased responsibilities as a result of health reform and a myriad of proliferating regulatory changes like ICD-10.

SO, what is it... 
Charity Care or Bad Debt?

I attend HFMA and AAHAM events ALL the time. One particular presentation I’ve seen quite a few times has stuck out to me because my company does both large and small self-pay receivable collections (patient responsibility after insurance) and bad debt collections. The woman who does the presentation is a friend of mine from a hospital in Philadelphia. She always does SO great at this presentation, I took notes and decided to make a spin-off to her presentation to share with those of you unable to get the chance to hear her speak.

It just ain't gettin' any easier is it?

Over the past few years, we’ve seen the Affordable Care Act receive much scrutiny and attention for its individual and employer mandate requirements. With the ACA presenting so many details and implications to understand and address, the Internal Revenue Service’s proposed 501(r) might have seemed buried under a heap of your other patient accounting and revenue cycle priorities.  But the new code addendum has the potential to significantly impact tax-exempt hospitals’ ability to bill and collect payment if not properly addressed.  In the midst of ICD-10’s certain implementation later this year and the insurance denial complexities it almost promises to deliver, you’re likely looking to avoid any additional delayed or forgone bill payments, right? Getting familiar with the new requirements and taking action to prepare is crucial to minimizing any negative consequences. 

Healthcare systems themselves are convinced there aren’t any practical solutions when it comes to revenue cycle management. As a medical practice, receiving every dollar that is rightfully yours is critical to your overall success and vitality. Therefore, the common question of whether to outsource patient collections or keep the process in-house is one that weighs heavily on many hospitals and practices, regardless of size.

In the past year, services like revenue cycle management have become somewhat of a buzzword in the healthcare industry. ICD-10 was delayed of course, and if your organization wasn’t focused on preparing for that shift, they should have been searching for ways to enhance and strengthen their revenue cycle. After all, most healthcare organizations expect some friction and payment problems after ICD-10 implementation, regardless of your preparation level.

Increasing collections and improving patient satisfaction might sound like two things that will never go together, but they can blend impressively well with the right revenue cycle solution.