DALLAS, TX--(Marketwire - June 29, 2010) - As a result of the health care reform law that was recently passed, organizations that process health care claims must take action to comply with the new regulation. To assist organizations, SOURCECORP, Incorporated, a premier business process outsourcing company, has released a new white paper, "Is Your Claims Processing Destined for Success in the Face of Government-Driven Change?" This complimentary document explains some of the law's requirements and demonstrates why outsourcing is an efficient and cost-savvy way for organizations to adhere to the new standards.
The Patient Protection and Affordable Care Act is expected to cause an increase in enrollments, which will lead to growth in claims processing and customer service assistance. Payer companies and organizations must also convert to HIPAA 5010 standards and enact changes in medical coding from ICD-9 to ICD-10 as of October 1, 2013. In order to meet these mandates, these organizations will need to upgrade their software systems and implement other new processes.
There are many benefits of outsourcing the administrative burden that will come with the predicted surge in enrollment. Utilizing a subcontracting model will lower the operational cost of processing claims and responding to customer needs, and reduce the cost associated with the technology that must be used in order to comply with the law. It also helps ensure that organizations will meet the terms of the legislation, giving companies expert advice on this new platform.
Outsourcing will help organizations meet the demands of the rapid increase in enrollment, as well as the costs to manage additional insured customers. While HIPAA implementation and migration to ICD-10 codes are not required until 2013, the Department of Health and Human Services is expecting providers to complete testing by the end of this year.
To execute new HIPAA standards and code changes, most companies will have to update their infrastructure and expend the resources to evaluate and test new software systems. By subcontracting, organizations can eliminate the need for an additional capital expense and make sure the systems are implemented correctly.
Another benefit of outsourcing is that organizations will not need additional space to house equipment or provide additional staff to run the systems. Instead, health care payer companies can optimize their space for revenue-generating activities instead of storing bulky equipment and hosting mailroom operations.
Outsourcing will enable companies to speed up and efficiently process new enrollments and serve customers. Staff members will be able to focus more on customer care rather than tedious administrative tasks. In addition, employees of companies that subcontract can maintain accuracy despite spikes in enrollment and claim processing. Administrative expenses and time can be reduced by nearly 50 percent as a result of hiring a company that specializes in claims processing to meet the new health care reform guidelines.
John Nixon, Senior Vice President of Business Development for SOURCECORP's BPS division, stated, "Outsourcing to SOURCECORP has helped many companies save on per claim capture costs by an average of $1.2 million to $4.5 million annually. Best of all, we can help ensure that a company will avoid penalties that can be issued from not implementing systems correctly, and from not deploying a new system on time."
For a complimentary white paper on migrating to the new health care reform standards, visit www.sourcecorp.com/newsroom/white-papers.aspx
About SOURCECORP®
SOURCECORP, Incorporated provides business process outsourcing solutions and specialized high value consulting services to clients throughout the United Sates. SOURCECORP focuses on business processes in information-intensive industries including commercial, financial, government, healthcare, and legal. Headquartered in Dallas, the company serves clients throughout the United States through a network of locations in the U.S., Mexico, Philippines and India.