Podiatry Coding & Billing Alert

This system helps you reduce days in A/R.

As patients shoulder more of their healthcare costs, practices take on the burden of the associated A/R costs. Clear communication of payment responsibility and updated insurance information are key, but getting authorization to store patient credit card numbers electronically can save you hassle on the back end.

By the time the insurance company responds to a claim, you may already be approaching 90 days in A/R. Having a card on file removes an obstacle to receiving payment, and patients knowing that a card is on file adds a layer of financial responsibility. They can’t just ignore the balance.

Make sure that your patients sign a pre-authorization form. Your form should include:

• The patient’s name
• Type of credit card
• Billing address
• Credit card number
• CVC on the back
• Expiration date

The form can also allow the patient to elect to be billed by a mailed paper statement with the stipulation that if payment is not received by the due date then the credit card on file will be charged. Read on for answers to some common questions about keeping a patient’s credit card on file.

How we do we get a card without offending the patient? Keep it simple and direct. Put it in your financial policy in bold print and explain it as a service to help avoid billing hassles when the remaining balance comes due.

Patients don’t always read the paperwork they sign, how do we avoid surprising them when we charge the card? Inform them of the balance on the account after the insurance responds. Let them know that you would like to bill for the balance to the card within 48 hours. Treat it as a courtesy and give them time to provide another form of payment.

What are some steps to take to ensure security? Scan credit card information into your EHR and destroy hard copies. Call your merchant services company (the one that gave you the card readers) to ask about features that protect stored information. This not only streamlines the process but also transfers the security responsibility.

Some are going to refuse to provide it or might not have a credit card, what should we do? Be firm and institute it is as a policy, but be willing to address it on a case-by-case basis. Some patients aren’t certain of their future financial stability and simply will not  comply with the policy. Have them sign a financial responsibility form that promises to pay within 15 days of receiving the bill.

You can find an example of a pre-authorization form at: http://imaging.ubmmedica.com/all/editorial/physicianspractice/pdfs/CREDIT-CARD-POLICY.pdf.