patients are frustrated with the paperwork and concealed pricing structure, and providers have an average collection rate of 60%. Needless to say, all parties involved experienced low satisfaction. Please describe at least four ways you could improve this process flow to reduce errors and improve efficiency.

Phlebotomy Essentials
6th Edition
ISBN:9781451194524
Author:Ruth McCall, Cathee M. Tankersley MT(ASCP)
Publisher:Ruth McCall, Cathee M. Tankersley MT(ASCP)
Chapter1: Phlebotomy: Past And Present And The Healthcare Setting
Section: Chapter Questions
Problem 1SRQ
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Here is the image of a medical visit for  patients. Our team is looking for improvement in both patient and physician satisfaction. As shown in the image below,

1.patients currently arrive at the medical office and complete an information form.

2. Some patients have appointments, but others are walk-ins.

3. An office assistant places the completed forms in a folder with the patient’s chart while answering the phone, assisting other patients, and dealing with paperwork.

4. The provider pulls the chart, provides the medical service, fills out forms for prescriptions and services provided, and returns it to the front desk.

5. The billing department enters the fee ticket, hopefully without errors, into a claim form to be mailed to the insurance company.

6. The insurance company receives the claim form and checks to see if it was sent to the correct company, if the form was completed correctly by the provider, and if the procedure was covered. If any of the above criteria are not met, the claim is returned to the doctor’s office.

7. If everything is completed correctly, the insurance company mails the medical office a paper check. The check arrives at the front desk where the office assistant can prepare it for deposit or send it to the receivables department for processing, assuming it doesn’t get placed in the “no time to deal with it now” filing cabinet or get thrown away.

8. The patient had no idea how much the services performed would cost so they are shocked when they receive an enormous bill that their insurance has not paid a portion of because they have not yet met their deductible.

This process has so many unnecessary steps and opportunities for errors, patients are frustrated with the paperwork and concealed pricing structure, and providers have an average collection rate of 60%. Needless to say, all parties involved experienced low satisfaction.

Please describe at least four ways you could improve this process flow to reduce errors and improve efficiency.

### Understanding the Healthcare Billing Process

The image above illustrates the complex process of healthcare billing. It breaks down various stages and interactions between patients, healthcare providers, insurance companies, and administrative staff.

1. **Patient Interaction and Documentation:**
   - The process begins with a patient visiting a healthcare provider.
   - Documentation of the service rendered to the patient is created and collected.

2. **Administrative Processing:**
   - The next step involves administrative personnel handling the documentation.
   - This includes data entry of patient information, services provided, and preparing necessary paperwork.

3. **Filing Claims:**
   - Prepared documents are then compiled into a claim.
   - The claim is sent to the insurance company for processing.

4. **Insurance Company Review:**
   - The insurance company reviews the claim.
   - Upon approval, the insurance company sends a payment (or denial) back to the healthcare provider.

5. **Provider Notification and Patient Billing:**
   - The healthcare provider gets notified of the claim status.
   - If the insurance company pays, the provider updates their records. If not, the patient is often billed directly for any outstanding amount.

6. **Payments and Final Notifications:**
   - Payments are finally processed, and accounts are updated.
   - The cycle ends with the patient and provider being notified of the final amount due.

**Diagram Explanation:**

- The diagram uses icons to represent different entities and actions:
  - **People Icons** represent patients, administrative staff, insurance company personnel, and healthcare professionals.
  - **Document Icons** show the various forms and paperwork involved at each stage.
  - **Computer and Phone Icons** indicate steps that involve data entry and communication.
  - **Dollar Sign Icons** provide a visual cue about monetary transactions.
  - **Arrows** illustrate the flow and sequence of the entire process.

Understanding this flow helps in recognizing the complexity and numerous steps involved in healthcare billing. Each stage is crucial for accurate and efficient billing and reimbursement, ensuring that healthcare providers are compensated for their services and patients are correctly informed about their liabilities.
Transcribed Image Text:### Understanding the Healthcare Billing Process The image above illustrates the complex process of healthcare billing. It breaks down various stages and interactions between patients, healthcare providers, insurance companies, and administrative staff. 1. **Patient Interaction and Documentation:** - The process begins with a patient visiting a healthcare provider. - Documentation of the service rendered to the patient is created and collected. 2. **Administrative Processing:** - The next step involves administrative personnel handling the documentation. - This includes data entry of patient information, services provided, and preparing necessary paperwork. 3. **Filing Claims:** - Prepared documents are then compiled into a claim. - The claim is sent to the insurance company for processing. 4. **Insurance Company Review:** - The insurance company reviews the claim. - Upon approval, the insurance company sends a payment (or denial) back to the healthcare provider. 5. **Provider Notification and Patient Billing:** - The healthcare provider gets notified of the claim status. - If the insurance company pays, the provider updates their records. If not, the patient is often billed directly for any outstanding amount. 6. **Payments and Final Notifications:** - Payments are finally processed, and accounts are updated. - The cycle ends with the patient and provider being notified of the final amount due. **Diagram Explanation:** - The diagram uses icons to represent different entities and actions: - **People Icons** represent patients, administrative staff, insurance company personnel, and healthcare professionals. - **Document Icons** show the various forms and paperwork involved at each stage. - **Computer and Phone Icons** indicate steps that involve data entry and communication. - **Dollar Sign Icons** provide a visual cue about monetary transactions. - **Arrows** illustrate the flow and sequence of the entire process. Understanding this flow helps in recognizing the complexity and numerous steps involved in healthcare billing. Each stage is crucial for accurate and efficient billing and reimbursement, ensuring that healthcare providers are compensated for their services and patients are correctly informed about their liabilities.
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