Helping Health Plans Reduce Claims Adjudication Cost

Healthcare claims adjudication is a complex and detail oriented process. The manual handling of paper claims not only increases the complexity of processing but also adds significantly to the cost of adjudicating claims. Fortunately, Imagenet provides solutions to this problem in the form of Imagenet's Paper to EDI Services. In this article, we will explore the top reasons why paper claims exist in the healthcare industry and why they aren’t going away any time soon, as well as the benefits of Imagenet's Paper to EDI Services in reducing claims adjudication costs for health plans.

Why Do Paper Claims Exist in Healthcare?

There are several reasons why paper claims still exist in the healthcare industry, despite the widespread adoption of electronic claims processing. Despite the widespread use of electronic health records (EHRs) and other technology solutions, paper claims still account for a significant percentage of all claims processed in the healthcare industry. Some of the top reasons include:

  1. Lack of Access to Technology: Not all healthcare providers have access to electronic claims processing systems, and some may not have the resources to invest in them.

  2. Lack of EHR adoption: In many cases, healthcare providers have not yet adopted EHR systems or have not fully integrated them into their practices. This can make it difficult for them to submit electronic claims, which can lead to the continued use of paper claims.

  3. Inability to Transmit Electronic Data: In some cases, healthcare providers may not have the necessary technology to transmit electronic data, such as a secure internet connection or a compatible system.

  4. Provider Preference: Some healthcare providers may prefer to continue using paper claims due to habit, familiarity, or lack of confidence in electronic claims processing.

  5. Administrative Burden: The administrative burden of converting to electronic claims processing can be significant, especially for small healthcare providers.

  6. Cost: The cost of implementing electronic claims processing systems can be prohibitively high for some healthcare providers, especially small and rural practices.

Top Drivers of Paper Claim Submission

Despite the benefits of electronic claims processing, paper claims are likely to persist in the healthcare industry for some time to come. Here are the top 25 reasons:

  1. Coordination of Benefits

  2. Medical Record Attachments

  3. Corrected Claims

  4. Non-contracted providers

  5. Claims for services rendered out of state

  6. Claims with specially negotiated fee schedules or procedure codes

  7. Non-contracted ambulatory claims

  8. Timely filing justification(s)

  9. Medical Necessity Justifications

  10. Claims seeking Retro Authorization

  11. Member reimbursement requests

  12. Lack of centralized systems

  13. Specialty pharmacy / unlisted drug codes

  14. Claims from providers that prefer not to use clearinghouses

  15. High dollar claims with in patient stay information attached

  16. Appeals & Provider Dispute Resolution (PDR)

  17. Department of Financial Responsibility (DOFR) Claims

  18. Claims sent via certified mail

  19. Misdirected claims routing

  20. Claims sent to uncontracted clearinghouses

  21. Over /under payments

  22. Returned checks

  23. Faxed claims & Medical Records

  24. Member and provider correspondence

  25. Claims related to member eligibility issues

Imagenet's Paper to EDI Services: The Solution

Imagenet's Paper to EDI Services offer a solution to the ongoing problem of paper claims in the healthcare industry. This service converts paper claims into electronic data interchange (EDI) format, enabling health plans to efficiently process claims and reduce the cost of adjudication.

The benefits of Imagenet's Paper to EDI Services include:

  1. Increased Efficiency: The conversion of paper claims into EDI format streamlines the claims processing process and reduces the risk of errors.

  2. Cost Savings: By reducing the manual handling of paper claims, Imagenet's Paper to EDI Services can significantly reduce the cost of claims adjudication for health plans.

  3. Improved Data Accuracy: The automatic conversion of paper claims into EDI format eliminates the risk of manual errors and improves data accuracy.

  4. Increased Provider Satisfaction: By providing a simple and efficient solution for converting paper claims into EDI format, Imagenet's Paper to EDI Services can improve provider satisfaction and reduce the administrative burden of claims adjudication.

  5. Reduced processing times: Electronic claims processing is typically faster than paper-based claims processing, which can help to reduce the time required to adjudicate claims and speed up the payment process.

Imagenet's Paper to EDI Services offer a solution that can help health plans reduce the costs associated with claims adjudication, while ensuring the accuracy and efficiency of claims processing. Although paper claims will likely never be completely eliminated from the healthcare industry, Imagenet's Paper to EDI Services provide a way to reduce their impact and help health plans to save time, money, and resources.

Previous
Previous

Imagenet Announces New Vice President of Finance

Next
Next

Benefits of outsourcing Claims Adjudication