Running a small clinic does not simply begin and end with providing medical services. You may want to hire staff to help you deal with tasks related to records, finances, and customer service. You should also consider the use of technologies for vital clerical jobs.
RCM software is one of the IT products that small clinic owners like you should invest in.
Revenue Cycle Management Defined
To understand RCM, you have to know first what revenue cycle is all about. The cycle starts from the time a patient asks for an appointment. It ends when all the required payments from a single patient are given.
In the US, a patient may not pay for the tests, equipment use, and your professional fee. He can use his medical insurance from the government and/or private companies instead. Some patients might pay, but they take advantage of discounts from said insurance.
RCM can be defined as the collection of all payments from all parties involved. Dealing with one patient’s payment is already hard. It becomes harder when you have to deal with more patients.
The Need for RCM
In the past, many clinics have faced difficulties in claiming payment from third parties. As a result, some clinics even filed for bankruptcy. RCM aims to prevent this from happening.
RCM helps make it easy for clinics to file claims and collect payments from all parties involved. It does so by setting a guideline that clinics and hospitals should follow. This guideline covers the proper way of keeping patient, and payment records.
RCM Products and Services
Unlike a big hospital, you do not have enough money to set up a finance department for your small clinic. You can probably afford up to five employees only. Your small staff has to do many tasks. Software for revenue cycle management can help lessen the burden for you and your staff.
There are other RCM products out there. Big hospitals may go to RCM hardware which already has built-in RCM software. There are also services to make software use easier.
Smaller clinics are more likely to go bankrupt than big hospitals. That is why you should invest more in an efficient staff and products like RCM software. If you are worried about the costs, you should know that your provider will charge based on your collection.