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Billing pros and cons

Billing pros and cons

Pros of outsourcing billing to a third party: - Allows providers to focus on other aspects of the business. - Effective contractors can keep DSO levels at 60 days or below. - Relieves the headache of constantly hiring and training new billers. - Cash outlay can be on a much smaller per-month basis rather than a lump sum payment for a new system. Pros of keeping billing in-house with automation software: - Keeps all pieces of the business together, integrates all functions. - Providers can call up status of claims at any time. - More economical in the long run. Cons of outsourcing to a third party: - Provider gives up control of a major business component. - If for some reason the contractor quits, the provider may have to implement a billing system under pressure. - Delays in getting claims status, hindering client inquiries. Cons of keeping billing in-house with automation software: - Investment in a new system requires capital, which can be difficult for new companies. - Turnover among billing staff creates lengthy departmental voids. - Keeping up with flurry of new regulations is a huge preoccupation.

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