Blog - Advanced Reimbursement Solutions

What Benefits Do Medical Billing Companies Offer to Practices?

Medical billing companies have been on the rise for the last few years as more and more practices seek to outsource their billing process. A couple of years ago, practices would do their billing in-house, resulting in a lot of hassle and pressure for medical professionals. Healthcare professionals would spend time and resources managing the logistics of billing, which would affect their quality of patient care. However, with the rise of medical billing companies, practices are spared the hassle of billing. Advanced Reimbursement Solutions can take the stress of medical billing away from you so that you can concentrate on what truly matters.

Benefits of Using Medical Billing Companies

Healthcare practices gain numerous benefits by outsourcing their billing function to medical billing companies.

• Concentrate on core competencies

Medical billing specialists have the knowledge and skills to navigate through insurance companies and ensure that claims are paid out. After outsourcing the function, you can concentrate on providing quality care to your patients and improving your practice.

• Time-effective solution

It is strenuous and time-consuming for health providers to concentrate on both treating patients and dealing with insurance companies. Therefore, medical billing companies help practices save the time that would otherwise be spent on making claims.

• Fewer headaches

When practices outsource the billing role, they outsource the hassle of dealing with insurance companies and handling claim reimbursement documentation. In addition, you say goodbye to the headaches that come with the complexities of medical billing.

• Maximize revenue

Both single-provider practices and large medical centers can benefit financially from medical billing companies.

A practice could reap many benefits from a medical billing company. You may think that you can handle it all, but this may result in a compromise of patient safety and negative outcomes. Outsource the hectic task of medical billing to the experts at Advanced Reimbursement Solutions and watch the efficiency of your practice increase. Contact us today to speak with one of our professionals in Phoenix or Wilmington.

5 Surprising Facts About HRA Insurance

As out-of-pocket expenses for employees continue to rise, HRAs provide a great opportunity for employers to help soften the blow. A Health Reimbursement Arrangement, also known as an HRA, is a reimbursement account that is funded by an employer and IRS-approved. They are a great way for employers to receive tax advantages while helping lessen the burden on their employees’ health costs. Here are a few interesting facts every employer should know about HRA insurance and the benefits it can provide:

HRA Insurance is Funded Solely By the Employer

While other types of insurances like FSA and HSA allow employees to contribute their money through payroll, an HRA is funded only by the employer. Since employers are in control, they get to determine how they want to handle certain rules of the HRA; for example, what types of expenses are eligible for reimbursement, what happens to funds at the end of the year, how much is allocated to employees, and more.

It’s Easy to Set Up and Manage

HRA insurance, unlike health insurance plans that use difficult language, is relatively easy to understand. This helps make set up quick since it’s essentially a business account for health care. This saves time for both employers and their staff.

HRAs are Extremely Flexible

HRA plans give employers a wide range of control. They can determine when employees become eligible, who is covered under their plan, and if they can retain benefits after termination or during a leave of absence. HRA plans also allow for part-time employees and seasonal workers to be covered.

HRAs are Exempt from State Insurance Rules

With traditional group health insurance plans, there is a state-mandated amount of coverage that must be included. This is one of the top factors driving up the cost of health insurance. HRAs are exempt from these requirements.

HRAs are Notional and Tax-Deductible

This means that none of the funds employers put into the account are paid out until employees follow the rules set up by the employer to receive reimbursement. Because of this, there are no minimum contribution requirements, and pre-funding is not necessary, which is a great benefit for many small businesses.

The trend for employer-sponsored health plans to include an HRA is on the rise, and for good reason. Although setting up an account is pretty straightforward, there are important steps like determining plan rules and going over documents. At Advanced Reimbursement Solutions, we can help get you started and streamline the process. Contact us today to speak with one of our team members in Wilmington or Phoenix.

The Difference Between an HRA and HSA

Individuals can pay for healthcare services with a Health Reimbursement Account (HRA) or a Health Savings Account (HSA), among other methods. The HRA is a reimbursement account, offered by an employer. An HSA, on the other hand, is a savings account for the consumer. When providing medical services, it is important to know the difference. This can save a lot of headache and confusion from employees and patients alike.

What HRAs Mean for Medical Service Providers

An HRA is a means of paying for medical services. If a patient needs assistance to pay for their medical bills, the HRA can do just that. Service providers and insurance companies are still able to make a profit, and patients are able to receive the care that they need.

HSA for Reimbursement Purposes

The primary purpose of an HSA is for the employee or individual to set aside pretax money for healthcare costs. While HSAs are not reimbursement accounts, like HRAs, they do come into play in the medical billing process. Patients with HSAs can use their accounts to pay for qualified medical expenses. This makes medical care more affordable for patients, and it makes the billing process easier for service providers.

Combining HRAs and HSAs

While HRAs and HSAs both allow patients to pay for medical expenses with pre-tax money, they are different in almost every other way. This is why it is important for patients to combine them when paying for medical care. Combining the two accounts to pay for medical expenses eases the financial burden of the patient, and it allows medical service providers to properly care for patients.

Learn More

As a medical reimbursement company, at Advanced Reimbursement Solutions, we want to help you with the complicated process of medical reimbursement. Simplify your medical billing process by having a good understanding of both HRA and HSA. Be sure to contact us today in Phoenix or Wilmington with any further questions.

Why HRA Insurance is a Great Idea for Employers and Employees

HRA, or Health Reimbursement Arrangement, is a health reimbursement account which is IRS-approved and employer-funded. Tax advantages are provided to employers while offering personalized health benefits which reimburse employees for out-of-pocket medical expenses and health insurance premiums. As it includes so many benefits, it’s a great option for both employees and employers for out-of-pocket medical expenses and lowering tax liability.

Not the Same Thing as Health Insurance

The difference between a Health Reimbursement Arrangement and standard health insurance is that HRAs allow employers to make contributions to an employee’s account that provide reimbursement for eligible medical expenses. What this means is that it covers expenses not covered by their standard healthcare plan, like deductibles. Granting employees this option provides employers with certain tax benefits while also covering medical expenses that aren’t covered by their employee’s standard health insurance plan. These tax benefits are definitely worth exploring.

Benefits of HRA Insurance

One of the top benefits of employer-funded HRAs is that contributions are 100% tax deductible. If these accounts are structured properly, employers can not only cut healthcare costs without reducing health care benefits to employees, but also lower their own income tax liability at the end of the year; it’s a win-win for both employee and employer. Furthermore, employers have full control over the costs eligible for coverage under the plan.

Whether you’re a small business or a large multinational corporation, offering HRAs to employees is a win-win. Businesses interested in lowering their taxable income and helping their employees with their health care coverage should reach out to our team at Advanced Reimbursement Solutions so we can help get you started. Contact us today in Phoenix or Wilmington to learn more!

Important Questions About a Health Reimbursement Account (HRA) Answered

An HRA or health reimbursement account is an IRS-approved and tax-advantaged health benefit plan that reimburses covered employees for individual health insurance premiums and out-of-pocket medical expenses. The terms of an HRA provide medical coverage until the funds are exhausted or insurance coverage begins. The employer sets the contribution amount per employee.

1. Who owns the HRA?

It is solely owned by the employer.

2. Is an employee required to be covered by health insurance to have a health reimbursement account?

That depends on the HRA. An employer can offer HRAs to offset a high-deductible health plan, but they can also be paired with any health plan. They can also be offered alone.

3. Do the funds in an HRA accrue interest?

Generally, no. The accounts, in most HRA plans, are not individually owned bank accounts that earn interest.

4. How much can be contributed to my health reimbursement account?

The employer sets the amount contributed to an HRA. Some HRAs have annual limits on contribution.

5. Can an employee use money in their HRA to pay for their family’s medical expenses?

Yes. The money in an HRA can be used to pay for eligible medical expenses of all family members who qualify as an employee’s dependent on their tax return. However, the dependent must be covered by that employee’s HRA.

These are just some of the commonly asked questions when it comes to the ins and outs of having a health reimbursement account. You can learn more by consulting with the team at Advanced Reimbursement Solutions, located in Wilmington and Phoenix. Contact us today to get started.

How Medical Coding Helps in Medical Billing

Medical coding and billing are closely related components of the modern healthcare industry. These practices are both necessary for the reimbursement cycle to be complete. They connect patients, health care providers, and insurance companies. However, before beginning the medical billing process, medical coding must take place.

Both medical billing and coding can be done by a medical billing specialist or company. However, one can specialize in either medical billing or medical coding. Both the coder and the biller must have sufficient knowledge and a good understanding of the universal medical code language.

How Medical Coding and Billing Work Together

This process requires the coder to translate a prescription for a medication or a doctor’s diagnosis into an alphanumeric or numeric code. Every medical procedure, diagnosis or injury has a corresponding code, and there are thousands of codes. Therefore, a medical coder has to be familiar with the sets and subsets of the codes. The coder reads the medical care provider’s details of the patient’s visit and translates every bit of information into codes.

Every set of code has a specific set of rules and guidelines. Some codes, like those that indicate pre-existing conditions, should be placed in a particular order. The status of any claim depends on the accuracy and the specified guidelines of the code. Once the biller receives the coded report, a bill is made for the target insurance company. The biller gets an easier time when making the claim since information is used that everyone in the reimbursement cycle knows.

The medical biller sends the claim to the target insurance company, which examines and returns it. When the claim comes back, the biller analyzes it. After the analysis, the amount of a bill that the patient owes after deducting the insurance can be determined.

Learning More

At Advanced Reimbursement Solutions, we understand that it can get confusing. With offices in Phoenix and Wilmington, we’re here to help. Contact us today to book an appointment and learn more about medical coding and medical billing.

Tips for Selecting the Best Medical Billing Company in Wilmington and Phoenix

Choosing the best medical billing company in Wilmington and Phoenix may seem at first like a challenging task, but having the correct knowledge makes it a lot easier. We have highlighted some of the things to look for when choosing the best vendor for all your medical billing needs; however, with that being said, if you’re looking for the best in the Wilmington and Phoenix areas, look no further than the providers at Advanced Reimbursement Solutions.

Experience in the Field

Some billing experts in the medical billing field say that certification is important when choosing the best medical billing vendors. Though it is advantageous to have certified billers, what matters most is the experience these medical billers have. That said, you need to find a biller with a vast amount of experience in the medical billing field.

Determine the Type of Reports You Will Receive

Decide on the kind of reports you intend to receive and their frequency. Request the prospective company to send you their daily, monthly, and quarterly reports to ascertain the one that will work for you. Understandably, you’ll want to consider the type of report that the vendor provides and which one will work best for you.

Don’t Choose a Company Based Solely On Price

Medical billing companies with advanced revenue collection technology and experienced billers may charge a higher rate for their services. But if you happen to be a cost-conscious individual, don’t always assume that you are getting a good deal from a medical billing company that offers relatively lower prices.

For more information, make a point to consult our professionals at Advanced Reimbursement Solutions in Wilmington and Phoenix. Get detailed information about how to choose the best medical billing company for your needs. Contact us today to book an appointment and get started.

Do Your Medical Contracts Need a Review?

One of the keys to increased profitability in this increasingly complex medical billing environment is making the best deals possible with equipment suppliers and service providers. How sure are you that you are getting the best deals you can? This all begins with your medical contracts. Contract management determines your billing rates, the technology you have available, and other factors that directly impact your profit margin. Today, we are taking a closer look at contracts and how you know that it may be time for a contract review.

The Importance of Contract Review

In a perfect world, medical billing would be an afterthought. There would never be any problems with insurance providers, essential equipment would be readily available, and invoices would always be clear. However, if you own a practice, you soon realize that there are many stumbling blocks along the way that can make billing and recoupment of costs a daily struggle.

Most of this heartache starts with the medical contracts that you already have in place. You may have had the same contractual structure since you started your practice, but most likely, things were shaken up every time a new healthcare law came into effect. The result for long-lasting practices is a tangle of contracts that need to be renegotiated constantly to keep up with new regulations and the realities of the healthcare sector. If you have not reviewed your medical contracts in the last two years, chances are that your contracts are not as beneficial to you as you have been led to believe.

How to Know if You Need a Contract Review

Usually, medical contracts are the last things on anybody’s mind until they expire. This is equally true in the business world as in the healthcare sector. This usually means that in order to maintain billing without interruption, there is a strong desire to simply renew contracts or quickly switch to whatever is available when the contract expires.

However, a looming expiration is not the only time for a contract review. In fact, it may be more beneficial to begin this process long before you have to worry about switching contracts.

Do you think a closer look at your medical contracts might be just what the doctor ordered to help your billing department make a full recovery? Contact us today at Advanced Reimbursement Solutions in Wilmington and Phoenix to book a time for a full review of your medical billing management.

Outsource Your Medical Billing to Save Time and Money

If you are finding that your staff is spending too much time chasing after long-overdue reimbursements, it is likely time to look into specialized services to help your practice perform this task more effectively. Stand-alone surgical centers and durable medical equipment vendors often find that the reimbursement process is time-consuming, confusing, and they don’t feel like they receive the funds that they deserve.

We all know that the medical billing process has increased in complexity since the introduction and growth of HMOs and the like, and all signs point to this being the case for at least the near future, if not longer as health care in the United States continues to evolve. Outsourcing can help streamline your billing and reimbursement processes and let you focus on caring for your patients.

Outsourcing can help your practice improve both aspects of billing and reimbursements. Key benefits of outsourcing medical billing and reimbursements include:

• You free up the time of key staff members to focus on non-administrative tasks and feel that they are making a significant contribution to the practice.

• Receipts and profitability increase because the outsourced team only focuses on proper coding and billing.

• The practice receives the remuneration that it deserves for services rendered and providing durable medical equipment.

Focus On Medical Care, Not Medical Billing

Ongoing training to keep your staff updated on changes to medical billing codes and reimbursement levels for services and durable medical equipment can become onerous. Additionally, a low level of collections and reimbursements can add stress to the office atmosphere and have a negative effect on staff morale. The staff will begin to feel bogged down by administrative tasks that diminish the sense of value that they feel they are providing to the practice.

Outsourcing your medical billing allows you to rely on an expert team that is up-to-date in medical coding and understands the billing complexities that can make a significant difference to the amount that you are reimbursed, as well as the timeliness of payment. The less time that you and your staff are spending on medical billing and chasing down reimbursements, the more time that you can spend focused on your patients. Advanced Reimbursement Solutions is your medical billing and reimbursements partner who will help you to streamline your accounts to increase efficiency and profitability. Contact us today at our office in Wilmington or Phoenix to get started!

Photo: Numbers And Finance by kenteegardin licensed under Creative commons 2

The Basics of an HRA Insurance Plan

A Health Reimbursement Arrangement, or HRA insurance plan, as it is commonly referred, is an employer-funded, tax-exempt health benefit plan designed to reimburse employees for out-of-pocket medical expense on pre-defined conditions. HRA funds can also be used to fund individual health insurance premium. It is important to understand from the onset that HRAs operate differently from the traditional health insurance plan. It allows the employer to make contributions to the employee’s account for purposes of reimbursing eligible expenses. This plan provides multiple health insurance benefits to employees while allowing them to pay for a range of medical expenses that are otherwise not covered by the insurance.

How an HRA Insurance Plan Works

In an effort to cut down on premiums, an employer can redesign the insurance plan by using the HRA to reimburse employees for pre-specified out-of-pocket medical expenses such as co-pays and deductibles. The amount contributed to the employee’s HRA account are offset by reducing the premiums due to the employee. HRA funds can be used to pay for any of the following expenses:

• Insulin and diabetic supplies
• Obstetrical expenses
• General hospital bills
• Co-insurance amounts
• Eyeglasses
• Dental and orthodontic expenses
• Mileage for medical care
• Health insurance deductibles

HRA Benefits for the Employer

Thanks to a pre-defined contribution plan, HRA ensures maximum flexibility and cost control. This way, HRA enables the employer to offer a high deductible insurance plan while contributing the premium savings to the employee’s HRA account for future medical expenses on a pretax basis. All HRA contributions are 100% tax deductible and are not subject to any taxation, be it federal, state, or social security taxes. In addition, the employer gets to determine the contribution amount, who can participate, the expenses covered, as well as the payment frequency.

HRA Benefits for the Employee

HRA provides an employee with funds for use on medical expenses. In addition, any unused funds can be rolled over into the following year (employer discretion). The plan allows employees to accumulate funds for future medical needs such as retirement expenses. HRA funds can also be made available for COBRA premiums.

Health Reimbursement Arrangement (HRA) is an invaluable addition to any benefits package because it lets employers cut costs on healthcare-related expenses through the provision of employer contributions for an employee’s pre-defined medical reimbursement. By adopting this cost-effective consumer-focused plan, employers can channel the money saved through the plan to fund employee HRA insurance with tax-free money. This, in turn, gives employees control over their healthcare funds.

To find out more about the HRA insurance plan, speak to us at Advanced Reimbursement Solutions, with locations in Phoenix and Wilmington. Contact us today to get started!