When it comes to reimbursement, most chiropractors and team members believe they are not being paid every dime they deserve. Third-party reimbursements have indeed been shrinking while documentation requirements have increased. As a result, it has become practically impossible to thrive in an insurance only practice. It isn’t just the chiropractic world that’s being hit by these reductions. All types of healthcare providers are being affected by reduced reimbursements. As a result, we must rely more on a variety of services including those that may be the total financial responsibility of the patient. You must ask yourself the hard question, “Based on our fee schedule, would our patient base be able to afford all the care they need without insurance?”
Know Your Costs
One of the most important numbers that a practice must calculate is the cost per visit. Total overhead in a period, divided by the total number of visits in the same period produces the most basic “cost per visit” number. This serves as your baseline. Your fees should exceed this number by a multiple that is appropriate for your practice. For example, a new practice may have higher costs due to seeing fewer patients.
Practices need to offer an array of services ranging from basic adjustments up through the addition of modalities, in-office therapeutic procedures, and even concierge services. If patients have a financial concern with all the care that has been recommended, perhaps having them receive adjustments in the office, but doing exercises at home on their own would better fit their budget. Another option for those who are uninsured, under-insured, or partially insured is to be a member of a Discount Medical Plan such as ChiroHealthUSA. This allows your office to set a legal, discounted fee for patients who qualify as a member and makes care more affordable outside of insurance. In some cases, when unreasonable deductibles exist, patients may forego their insurance and opt for paying cash.
Remember that in your practice fee system there are actual fees, contracted fees, regulated fees, and the discounts you elect to offer including hardship, professional courtesy, and others. At KMC University, we have the experience and knowledge to evaluate your current reimbursement situation and understand the “ifs,” “whys,” and “why nots” to help you remain compliant. We can analyze your fees and maximize your profit. Let us assist you with these unpleasant office management tasks so you can get back to the vital work of seeing patients.
Call (855) 832-6562 to schedule your Fee Analysis now!