What are the top challenges facing small- to medium-sized, independent physicians as they fight to maintain their independence and compete with the large, corporate providers? Over the next three weeks, we are going to look at the top 10 challenges, so please join us for this informative series and tune back in every Tuesday!
First of all, why should independent physicians even try to maintain their freedom? Isn’t the corporate takeover of our healthcare system inevitable? In 2018, employed physicians outnumbered independent physicians for the first time ever, according to Medical Economics. Many independent physicians are despairing that selling out is just a question of when, not if. That’s especially true in the era of Obamacare and MACRA, when the increased rules and regulations are making it more and more challenging for physicians to operate confidently and profitably while complying with all the Byzantine rules.
But it’s a fight worth fighting! Studies show patients of small- to medium-sized independent physicians fare better. Medscape recently highlighted several studies that bear this out. Smaller practices have “ambulatory care-sensitive admission rates fully 33% lower” and lower overall costs for care for diabetes, for example.
So we need to win this battle for our patients. But how? Let’s look at the biggest issues the independent doctors face.
1) High insurance claim rejection rates. On average, 34% of all insurance claims submitted to the insurance companies are initially rejected. Many are eventually paid out, but only after resubmitting, often multiple times. When you consider that each reworked claim adds an average of $25 in cost to the practice, you can see how this is one of the biggest burdens for small providers. But isn’t that just how the game is played? You submit, they reject, you resubmit? Many practices, even smaller ones, have entire headcounts dedicated to nothing but fighting this battle. But they don’t have to! In fact, it makes no sense to. Doing your own claims, especially if you are doing them manually, makes zero financial sense for providers with under 25 staff. The math simply doesn’t add up. Using a resource like Fast Layne Solutions solves this in two ways: it brings advanced Revenue Cycle Management technology to bear on the problem (thus slashing that rejection rate to under 2%) and brings economies of scale to bear to cut your claims management costs by on average 60%.
2) Slow reimbursements. Even when you do get paid, it is often taking far too long. The solution: use a provider that has an independent clearinghouse connected to all insurance companies and that gets your claims paid the first time. That’s why our doctors get paid in days, not months.
3) Clunky, user-unfriendly, slow, overpriced EMR/EHR systems. It is the shame of our industry. Talk to any doctor pretty much anywhere in the United States and they will tell you the same story: I HATE MY EMR! There is even a popular parody account on Twitter dedicated entirely to how awful the leading EHR system in the US is perceived to be by the doctors and other healthcare professionals forced to use it. And to add insult to injury, these systems are incredibly expensive. And on top of all that, most are PC- or laptop-based, which interferes with the doctor-patient interaction. And many are so complicated that even a smaller practice often has to have a full-time IT headcount to maintain their systems. The solution: EMRx, a Cloud-based (read “zero maintenance and no IT staff needed”), software-as-a-service EMR designed by doctors, for doctors, and currently used by thousands of doctors nationwide. EMRx is tablet-optimized, meaning you can maintain eye contact with the patient. It is so user-friendly that our average documentation time per patient encounter is just two minutes for general practitioners, somewhat greater for certain specialists. (And yes, everyone always thinks that’s a lie….right until they see the demo.) And because it is software-as-a-service, the start-up costs are far more reasonable, there is zero maintenance for you, you have access to award-winning support, and the ongoing costs are reasonable. Also, you aren’t stuck in multi-year contracts.
Tune in next week for challenges 4 to 7!