Have You Ever Thought About Outsourcing Accounts Receivable?
Listen as our owner, Tonya Burns, talks about outsourcing Accounts Receivable.
AR stands for Account Receivable and refers to the money owed to you for services performed. In most dental offices the procedures are performed and then insurance is billed. After insurance pays their amount, the patient may owe an additional amount. The process of billing the insurance and receiving information back can take up to 30 days. The patient will then not receive a bill for up to 30 days after service is performed.
What happens when AR goes unmanaged? We all know that the money collected for services by the office is what pays the office bills. Everything from employee paychecks to keeping the lights on is what that money is used for. If the office is not collecting patient balances or is late in collecting, that office is missing revenue and it can really hurt a practice's overhead. Another issue that happens a lot in practices is that when a patient is first seen, the money owed up front for that visit isn't properly collected. This can cause a delay in getting more money that could have easily already been collected right at that visit. The chances of collecting that money after the appointment significantly drop if that patient is not returning for treatment or another appointment.
Having a system in place to send statements and reach out to patients with their balances is vital for any practice. If you do not have a system in place or don’t have a team in place to accomplish this, we have experts in place that can help with that. Let us know if you want help managing your AR! Contact us today at 1-888-359-5020 x810.
Written by Heather Waldron