Here are the some interesting fact on Medical billing.
Fact: Insurance carriers spend in excess of $19 billion annually processing paper claims.
Fact: Healthcare providers spend more than $7 billion annually just submitting claims to carriers.
Fact: According to the New England Journal of Medicine, the U.S. Healthcare System wastes up to 24 cents out of every dollar on administrative and billing costs, or in excess of $6 billion annually.
Fact: 30 to 35% of all paper claims are rejected due to typo’s, errors and omissions.
Fact: Less than 1% of electronic claims are rejected.
Fact: An electronic claim takes just seconds to prepare.
Fact: Most electronic claims are processed for payment by carriers within 24 hours.
Fact: Electronic claims cost healthcare providers between $1.50 and $3.00 depending on volume, specialty and other factors.
Fact: Using paper claims submission, reimbursement takes an average of 90 to 120 days.
Fact: Electronic claims are paid within 7-21 days.
Fact: Reports show that the average healthcare provider has more than $150,000 in outstanding accounts receivables.
Fact: Electronic Claims Submission can reduce outstanding accounts receivables by more than 60%.
Fact: Coding errors for surgical procedures eats up about $6 billion annually in unneeded costs.
Fact: Medicare provides healthcare coverage to some 35 million people over age 65.
Fact: The social Security Administration estimated some 2.2 million people turned 65 in the year 2003.
Fact: That number will rise to 4.2 million in the year 2027. In all, 74.9 million people will turn 65 during the next 25 year period, creating a future of opportunity.
