Why is (RCM) Revenue Cycle Management needed in medical care?
Healthcare providers today face unprecedented hurdles in order to offer patients with high-quality care and to be financially successful while doing so.
While hospitals, small practices, and larger healthcare systems are known for saving lives and treating patients, every healthcare organization needs to develop successful processes and policies for staying financially healthy. That is where revenue cycle management comes in.
By definition, RCM is the financial process facilities use to manage the administrative and clinical functions associated with claims processing, payment, and revenue generation. The process consists of identifying, managing, and collecting patient service income.
There are numerous steps in the management process which also indicates the potential for mistakes to happen. Any flaws in the revenue cycle procedure will cause a stall or delay in the provider’s ability to get paid by patients and insurers.
The financial process is crucial to ensuring healthcare organizations stay in operation to treat patients. Facilities use healthcare revenue cycle management to collect profits and subsequently keep up with expenses.
In practice, RCM begins when a patient makes an appointment to seek medical services. The process ends when organizations have collected all claims and patient payments. The seven steps of the revenue cycle are pre-registration, registration, charge capture, claim submission, remittance processing, insurance follow-up, and patient collections.
Instead of letting the claims affect the provider’s ability to make ends meet, the provider can start managing the Revenue Cycle Management (RCM) process by concentrating on analyzing and enhancing the organization’s key operating systems for RCM. Preventing initial claim rejection may be made easier by focusing on early detection of pre-registration difficulties, and RCM software implementation may make it easier to guarantee prompt reimbursement.
With AZ Billing’s RCM, however, this process is streamlined, ensuring a healthy cash flow. Book an appointment with us to learn more.
AZ Billing is a client-centric company with more than 20 years of knowledge and experience in providing top-quality revenue cycle management (RCM) and medical billing services. With a committed and world-class team of experts at the helm, we masterfully provide a comprehensive suite of healthcare solutions and services.