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Medical Billing - How To Do It!
10 Best Practices That Every Medical Biller Should Know

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Medical Billing Best Practices
# 5

Medical Claims: - Filing Claims Electronically / Rejections / Claim Scrubbing

Let's us first state that this, and the previous section on 'preparing claims' is the 'HOW TO DO IT PART' of the how to do it. 

And we'll start with the assumption that all claim errors are avoidable. 

Most medical billing is fairly repetitive so given ample training, decent billing software, decent coding tools, and a decent clearinghouse, a healthy amount (90%) of your claims should be clean. So what causes a claim to be rejected? 

CLAIM REJECTIONS
Claims can be rejected for a number of reasons but the most common reasons are typos and lack of double checking and scrutinizing the claim before it's sent; in other words - Human Error - or a lack of conscientiousness. In fact the top ten items are totally ordinary stuff like a wrong date of birth entered and what not. 

So let's assume for the moment that we've been given ample training, have decent billing software and decent coding tools, and that we have a decent clearinghouse. It is the clearinghouse that comes into play at this point in the way of claim scrubbing.  

CLAIM SCRUBBING:
Without going into detail of what a clearinghouse is, claim scrubbing, or claim analysis is by far the most significant thing that a clearinghouse does. Using software it catches the thousands (that's right, thousands) of things that can cause an insurance claim to contain errors and be rejected. Catching it here before it hits the insurance carrier keeps it from being rejected, prolonging the revenue cycle. Clearinghouses will tell you within minutes or hours whether a claim has errors on it or no. Some expensive billing software (normally referred to as Practice Management software), will have these sophisticated feature like claim scrubbing integrated within their software working behind the scenes catching errors before the claim is sent to the carrier!

ELECTRONIC FILING OF CLAIMS
In the medical billing field nothing is more mysterious that how claims are transmitted electronically. In our case fortunately it is not as important to understand are the technological nuances as it is to know what to do and how to do it.

Normally the Medical Billing Software at the practice is hooked up to send and receive claims transmissions. This is normally done through a clearing house, but is sometime done through a direct connect - say to Medicare or Medicaid. Here is an excellent article on clearinghouse - what they are and what they do.

For our purposes, we will focus on the basics of how to create a claim, how to create an electronic file, and how to 'upload it' to the clearinghouse.

 

 

 

 

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#1  Checking Eligibility
#2  Understanding Coverage
#3  Admin Check-in
#4  Medical Coding
#5  Filing & Managing Claims
NEXT #6  Revenue Cycle Management (RCM)
#7  RCM:  Follow-Up & Adjudication
#8  RCM:  Pay & Adjust, Secondary Claims
#9  RCM:  Denials & Appeals
#10 RCM: Collections

 

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