The Mounting Patient Debt Problem
Rising health insurance premiums have caused significant increases in patient deductibles, which have led to reduced revenues and disrupted cash flow for hospitals. Today, an average hospital with 120 beds and 15,000 monthly patient visits is losing $7 million at the low end, and in many cases up to $20 million at the high end, annually in unpaid patient debt. For many hospitals such a loss in revenue can only lead to dire financial conditions.
Typical revenue cycle collection efforts to date only capture about 20% of patient-responsible debt, doing little to turnaround the hospital’s financials. That‘s why VestaCare® is the smart choice for hospitals. With VestaPay, hospitals secure revenues at substantially higher numbers. Initial capture rates of 30%-40% are achievable within six months of go-live. Within a year, capture rates will rise further, typically in the 50%-60% range as staff continue enrolling a greater percentage of patients in the VestaPay program at time of service.
Facing an uncertain financial future? Not sure where to turn? Exhausted all bank borrowing options?
VestaPay® offers a breakthrough solution for recovering significant cash and revenue. For a typical 200-bed hospital with $12 million in ongoing patient bad debt, VestaPay would recover $500,000 within the first six months after go-live and $4 million in the next 12 months thereafter. Numbers continue to rise as more patients are secured. All of this is made possible by VestaPay’s ability to secure patient payment at the point of service, the point at which you have maximum leverage with your patients.
Without degrading the compassionate treatment of your patients, VestaPay enables you to secure their commitment to pay their current obligations and future adjusted obligations with no further outreach required. Imagine securing patient balances at the time of treatment, instead of waiting up to six months after treatment (when most hospitals first submit a bill to patients).
VestaPay delivers dramatic results
VestaPay Payment Manager offers a simplified solution for estimating patient obligations, yet does not depend on having a highly accurate estimate. After the insurance claim has been billed and processed, VestaPay reconciles with your billing system and automatically adjusts the patients’ balances and payment plans. The whole process is automated. Your staff simply performs one step, which is to enroll the patients in the VestaPay Payment Manager.
As a result, VestaPay will dramatically increase your revenues and improve your cash flow, while helping your patients more easily meet their financial obligations. In fact, offering VestaPay will increase patient satisfaction scores and loyalty to your hospital. The fact that you’ve made getting their treatment a non-hassle and allowed them to focus on getting well will ensure they choose your hospital for their future medical needs!
Start collecting more of your patient-responsible revenue today with VestaPay Payment Manager services. Call 858.454.7800 for more information.