The Problem

Ask any sole practitioning healthcare professional and they will tell you that running a successful private practice is a constant balance between providing quality of care and fulfilling the administrative requirements necessary to keep the practice functioning. Essentially, sole practitioners work three jobs: healthcare provider, secretary, and accountant. In a word, the greatest problem facing any sole practitioner is TIME.

Sole practitioners generally fall into two categories: those who handle billing and receivables “In-House” and those who “Outsource” to a medical billing company. “In-House” practitioners maintain everything from scheduling appointments, to billing, to receivables. Unfortunately, “In-House” billing frequently results in rejected insurance claims (often times never corrected and resubmitted) and payments (deductibles, copays, and co-insurance ) which are too infrequently collected. The reality for a sole practitioner (without support staff) dictates that it’s more cost effective to just see another patient than it is to reconcile patient accounts and know what to charge each patient at the time of their visit.

In the case of “Outsourcing”, medical billing companies often charge commissions in excess of 10% and don’t necessarily share the practitioner’s personable bedside manner when working with patients. This is a very high premium for losing control of the financial side of one’s practice, not to mention the notable decrease in patient retention ratio as well as less frequent recurring visits (do to constant rescheduling) for procedures identical to those offered by “In-House” providers.

From an objective perspective, the greatest threat to a successful practice is the loss of control. In the case of “In-House” billing, practitioners would lose control due to the sheer volume of information. In the case of “Outsourcing”, practitioners lost control because medical billing companies are more concerned about earning their commissions than they are protecting and preserving their patient roster.