Becker's ASC Review

Executive Briefing: 32 Executive Briefing promotion period — or has one late payment — they're less likely to be satisfied with the care experience. Providers should note the financial advantage to offering a patient- friendly collections solution, a 2016 Deloitte report suggested. Hospitals that had "excellent" patient-reported experience scores between 2008 and 2014 had an average net margin of 4.7 percent, compared to an average net margin of 1.8 percent among hospitals with "low" ratings. Effective ways to boost collections and satisfaction Along with hurting revenue-boosting patient satisfaction, inefficient or nonexistent patient financing solutions contribute to higher same-day cancellations. In 2018, about 40 percent of over 1,300 adults surveyed by NORC at the University of Chicago and the West Health Institute said they'd skipped a medical test, treatment, or follow-up appointment in the past 12 months because of insufficient financing or inability to pay. Educating ASC patients upfront about what their expenses are — and how to manage them — is key to preventing this problem, according to Mr. Crawford. "With a program like BHG Patient Lending, you can reduce cancellations," he said. "Because patients will know before they have their procedure that they qualify for a financing plan, they can budget for it and move forward." The program also ensures patients receive more manageable bills post-surgery, meaning they'll be more likely to pay, which will help boost centers' collections, Mr. Crawford said. Patients capable of managing their bills are also more likely to be satisfied with the entire care experience and may discuss that experience with others, helping ASCs stand out among competitors. "BHG Patient Lending is a great option for consumers and is easy to understand. We focused on making patients' healthcare more affordable and tried not to overcomplicate the payment options. In doing this, we have created a win- win for both the patients and providers." Mr. Crawford said. BHG Patient Lending offers consumer loans through its community bank partners and and works closely with other companies within the healthcare industry, including a tool that estimates patients' out of pocket costs and the amount insurance will pay prior to the procedure. This information empowers ASCs to have upfront conversations about costs, giving patients the opportunity to budget for expenses, according to Mr. Crawford. If the lump sum isn't affordable, they can apply for a BHG Patient Lending's financing solution to spread out payments over time. Applying for the financing solution can be done inside the ASC via mobile phone, or from a home desktop computer. BHG Patient Lending approves any credit score to help as many patients as possible. When an approval is issued, BHG Patient Lending allows the patient to pick a monthly payment that works for them. They see a grid of options with a minimum payment of $40 a month and a maximum loan term of five years. "The customer that wants to pay $500 a month and shorten the term of their loan and pay it off a little bit sooner can," Mr. Crawford said. "But someone who might be a little bit more restricted in their monthly cash flow can pick a longer term with a reduced payment of only pay $100 a month — as long as it fits within that 60 months." Another draw of BHG Patient Lending is that it pays facilities 100 percent within 72 hours of the patient's loan approval, Mr. Crawford said, which "puts them in a much better situation than if they were trying to collect themselves or trying to do that through in-house payment plans." Trends requiring ASCs to adapt Today's healthcare consumers want to be able to pay for their care over time through plans that suit their personal finances, according to Mr. Crawford. People want to be able to afford healthcare without having to pull from college funds or grocery budgets. Giving them that option through programs like BHG Patient Lending significantly increases patients' propensity to pay, he said, which benefits providers at the end of the day. The average annual deductible for single coverage in 2017 was more than $1,200, up from about $303 in 2006, according to Kaiser Family Foundation's 2017 report. Over the next five to 10 years, Mr. Crawford believes, even more healthcare costs will fall on patients instead of insurers. He predicts consumers may become responsible for as much as 50 percent of their healthcare bills, on average, and providers will have to differentiate themselves by improving the payment experience. In the future, Mr. Crawford said, healthcare may become a monthly cost that patients address the same way consumers pay bills for cars, mattresses and flat-screen TVs. Providers will have to adapt to changing payment trends to ensure financial sustainability as patients' responsibility for healthcare payments increases and reimbursements decline. "We want to partner with ASCs to make sure that they're not suffering a financial loss because of this shift," Mr. Crawford said. As they find themselves more frequently collecting higher amounts from patients, it's essential for providers to overhaul their collections processes. Patient pocketbooks and provider bottom lines need a payment solution attuned to current industry trends. n BHG Patient Lending decreases your facility's patient A/R balances and A/R days by offering your patients low-interest loans to cover their out-of-pocket healthcare expenses. BHG Patient Lending offers a hassle-free online application process, 100% patient approval programs, and pays your facility 100% of the patient responsibility within 72 hours. For more information about BHG Patient Lending, please visit https://bankershealthcaregroup.com/patient-lending

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