Why is Revenue Cycle Management needed in medical care? While hospitals, small practices, and larger healthcare systems are known for saving lives and treating patients, every healthcare organization needs to develop successful processes and policies for staying financially healthy. That is where revenue cycle management comes in.
By definition, revenue cycle management is the financial process facilities use to manage the administrative and clinical functions associated with claims processing, payment, and revenue generation. The process consists of identifying, managing, and collecting patient service revenue.
The financial process is crucial to ensuring healthcare organizations stay in operation to treat patients. Facilities use healthcare revenue cycle management to collect profits and subsequently keep up with expenses.
In practice, revenue cycle management begins when a patient makes an appointment to seek medical services. The process ends when organizations have collected all claims and patient payments. The seven steps of the revenue cycle are pre-registration, registration, charge capture, claim submission, remittance processing, insurance follow-up, and patient collections.
With AZ Billing’s Revenue Cycle Management, however, this process is streamlined, ensuring a healthy cash flow. Book an appointment with us to learn more.