There’s a reason why over two-thirds of healthcare providers have one or more revenue cycle management partners: it saves money and time, but more importantly, increases revenue.
As inflation continues to impact the bottom line for healthcare providers, they are looking for the best revenue cycle management (RCM) partners and solutions to help them reduce costs and efficiently increase collections. One of those solutions is an Extended Business Office (EBO).
What is an Extended Business Office (EBO)?
An Extended Business Office (EBO) provides RCM needs to meet current business challenges including labor, system optimization, and analytics support. The goal is to create a collaborative support system that fits specific and changing business needs to improve financial stability and reduce ballooning operational costs.
Why Would a Healthcare Provider Need EBO Services?
Each healthcare provider is different, but there are a multitude of reasons why a provider would want to consider Extended Business Office services.
Reduce Costs and Bad Debt
Healthcare providers are still struggling with business costs and it continues to be a top priority for healthcare leaders. An Extended Business Office can reduce labor and operational costs while improving efficiency, which will reduce the amount of bills becoming bad debt.
Drive Efficiency
Healthcare is a massive industry and it’s hard to stay on top of the processes involved in managing a health system. It’s also expensive with providers wasting over 10 billion dollars on overturned claim denials and 40% of providers losing half a million dollars from claim denials.
RCMs stay up-to-date on healthcare regulations, coding expertise, and collection performance while streamlining operations. Healthcare providers that use EBO services improve their finances and operations for long-term growth.
Increase Collections
Patient payments are increasingly harder to get with the patient collection rate falling from 54.8 percent in 2021 to 47.8 percent in 2023. Extended Business Office services can get the most out of your patient collections process by having additional labor support to meet demand and analyze collections performance.
Improve Patient Experience
Expanding RCM services using an Extended Business Office is a great way to improve patient experience. It gives providers more time to care for patients and attend to their needs instead of collecting patient payments and fighting insurance denials.
The bottom line is if your health system is feeling financial and labor constraints, an Extended Business Office could be an ideal solution. Contact us to see how Strivant Health can tailor to your RCM needs.