Medical Practice Profitability: Six Tips to Apply Today
Medical Practice Profitability: Six Tips to Apply TodayDriving profitability in a medical practice is not an easy task.
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It requires not only passion to serving patients and managing their health, but also organizational know how in expense management. Below is a list of steps that medical practices can take to have an immediate impact on profitability
- Drop your Worst Performing Insurance Plan: If your practice is at or near capacity, consider dropping insurance plans that consistently underperform. This will reduce your patient wait list and allow you to focus on patients with plans that pay. A detailed analysis of plan reimbursement using Medicare as a benchmark will show that there are plans paying as little as 65% of the Medicare guideline.
- Become a Coding Expert: ICD-10 is here, now is the time to make sure your staff is up-to-speed on the new rules. Better coding results in higher reimbursement which goes straight to your bottom line. Don’t leave money on the table due to coding mistakes.
- Diversify your staff: If your practice is at capacity, consider adding non-physician resources to non-critical patient care. Insurance plans will typically reimburse for non-physician delivered services at the same level while practice costs will be much lower.
- DIY Approach: Are there services you refer out today that you could be doing in-house? Consider investing in the equipment or training to bring these services back into your practice. Not only will this boost profits, but it will also drive patient satisfaction by saving them the hassle of scheduling appointment with external specialists.
- Join a Purchasing Group: GPOs help medical practices realize savings by aggregating volume and negotiating better pricing with manufacturers. Save time and money by buying online.
- Staff to Need: Every practices has peaks and valleys, but if your office consistently pays overtime, you are overpaying. Pay attention to your overtime approval processes to make sure you are not paying for more than you need.
Contact Us Managing medical practice expenses is a challenging task. Changes rules and regulations including Obamacare can make this a more difficult task, That's why it's essential to keep a watchful eye on medical practice expenses For additional information please contact us at 303-388-1010, or click here to contact us. We look forward to speaking with you soon.