Our economic woes are far from over. This article published by the Medical Group Management Association (MGMA) validates some of what many of us already know to be true:
1. Healthcare services are being viewed as discretionary. Patients are foregoing certain operations, services, and prescriptions simply because they can’t afford it. This is impacting private practices through reduced volumes of services rendered and procedures performed.
2. The uninsured are increasing. With increasing job losses, reliance on COBRA coverage has increased, but at a significant cost to the insured. As coverage expires and patients become unable to pay for the expensive coverage, growth in the uninsured population will likely continue.
3. Payment for services are slowing. For those patients that do seek healthcare services, payments for those services are slowing. Co-pays and responsible portions of claims that go to the patient find themselves competing against payment of other household bills such as credit card debt, mortgages, and groceries.
All is not bleak, but private practice owners must be prepared. Make sure you are collecting your co-pays at the time of service, setting up reasonable payment plans with paying patients, and stockpiling cash reserves in order to weather the economic storm that is likely to last a while.
Published in July, the Rockefeller Foundation/Time Campaign for American Workers Survey revealed that because of costs:
- 23 percent of respondents had not filled a prescription, up from 17 percent in 2007;
- 23 percent had gone without health insurance, up from 20 percent in 2007; and
- 25 percent had not visited a doctor, up from 18 percent the year before.
Our economic woes are far from over. This article published by the Medical Group Management Association (MGMA) validates some of what many of us already know to be true:
1. Healthcare services are being viewed as discretionary. Patients are foregoing certain operations, services, and prescriptions simply because they can’t afford it. This is impacting private practices through reduced volumes of services rendered and procedures performed.
2. The uninsured are increasing. With increasing job losses, reliance on COBRA coverage has increased, but at a significant cost to the insured. As coverage expires and patients become unable to pay for the expensive coverage, growth in the uninsured population will likely continue.
3. Payment for services are slowing. For those patients that do seek healthcare services, payments for those services are slowing. Co-pays and responsible portions of claims that go to the patient find themselves competing against payment of other household bills such as credit card debt, mortgages, and groceries.
All is not bleak, but private practice owners must be prepared. Make sure you are collecting your co-pays at the time of service, setting up reasonable payment plans with paying patients, and stockpiling cash reserves in order to weather the economic storm that is likely to last a while.