One Dental Billing

Why is Revenue Cycle Outsourcing Important in Healthcare?

Hospitals today are incompetent in processing important business transactions because they have limited automation and utilize non-integrated IT business applications. Therefore, 30 cents on every dollar billed is never collected, and 20 per cent of all uncollected payments occur because coding was incorrect or insurance requirements were not met upfront.
As the unrealized account receivables climb, healthcare providers who need to spend up to 40 per cent of their budget on administrative costs struggle to run operations Outsourcing these operational functions to partners with expertise and state-of-the-art technology will help to improve collection. It will also give you extra bandwidth to focus more on your business – offering quality healthcare.

Benefits of RCM outsourcing are listed below:

Focus on Patient Care: Outsourcing Revenue Management Cycle to a well-experienced partner will help healthcare providers keep tabs on compliance rules and enable them to focus on proper patient care. Continuously monitoring on RCM will only distract healthcare providers from maintaining high standards of care distribution, and medical diagnosis.

Manage Staff: Reliable RCM partner taking care of day- to- day RCM activities like billing, reimbursements, registrations, and patient check-in/check-out, the healthcare facility can reduce the burden on staff. Managing with fewer staff members will allow providers to focus on their medical practice and network with other professionals.

Timely Reimbursements: With professional RCM partner/billing agents working round the clock for you, can ensure timely reimbursements. As they do not handle any other medical functions, they only focus on collecting and verifying all details of patient enrollment, checking on insurance, documenting the diagnosis and treatment, and giving the correct medical codes. When this all is done, then billing agents can provide an exact picture of the dues comprehended at consistent intervals. This helps healthcare providers have a complete look at their earnings in real-time.

Fewer Interruptions in Cash Flows: RCM outsourcing partners are equipped with software and hardware solutions to handle the huge amount of billing. Once the expected documents are received from the providers, medical billing is done, and all procedures like insurance verification and AR collections are followed up within a day or two. This provides a huge scope to improve cash flow.

Reduced Billing Errors: With well-trained staff and the latest technology in hand, outsourcing RCM partner will never commit standard billing errors like entering the incorrect name of the patient, and wrong CPT codes. Complete error-free billing helps healthcare providers improve their reputation.

Account Receivables (A/R): An effective RCM partner helps healthcare providers follow up AR settlements from insurance providers. Outsourcing to an RCM partner who has an expert team of A/R specialists, working with several insurance firms and are conversant with policy handling, can ensure streamlined payment and outcomes.

Stronger Financial Performance: RCM outsourcing helps you obtain payments that you are legally permitted to collect, leading to an increase in revenues with the reduced overhead cost of in-house billing team salaries, expenditure on office equipment and technology upgrades, outsourcing.

Managing in-house RCM operations can be expensive, as it requires committed employees. Shifting this operating cost to an outsourced RCM partner can save your expenses, and time associated with boosting profitability.

Maintaining an in-house RCM operation requires the latest infrastructure and resources, as well as technology and investment.

Wrapping up in short

As a healthcare provider or a decision-making authority, you might be perfecting in an in-house Revenue Cycle Management Strategy, but by now it should be clear that a successful Revenue Cycle Strategy is one that is continuously evolving to meet the needs of a rapidly changing healthcare environment. The benefits of outsourcing the RCM process can transform and improve your financial health. It will also give you extra bandwidth to focus more on your business – offering quality healthcare.


In conclusion, the benefits of RCM outsourcing include enhanced patient care, a boost to the financial bottom line, estimated cash flow, and enhanced revenue without negotiating on quality, time and resources which can transform and improve healthcare.

We laid the foundation of One Dental Billing on the principle that “every dental office deserves a streamlined billing process.”

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