Electronic Remittance Advice (ERA) Simplifies Payment Collection
Healthcare providers nationwide are waking up to the substantial benefits of electronic claim submission and reconciliation. According to the American Medical Association (AMA), tools like the electronic remittance advice (ERA) for medical billing are saving medical practices approximately $10,000/year for each billing provider in the group. How? It automates manual steps that save administrative costs in medical billing processes and ensures greater accuracy and speed in the receipt of claim payments.
A Closer Look at How ERA in Medical Billing Impacts Your Operations
Commonly referred to as the ANSI 835 file, the ERA in medical billing is the electronic equivalent of a paper Explanation of Benefits (EOB). It indicates how much the insurance company paid on the claim and identifies reasons for any denial of benefits.
Prior to the ERA, staff for a healthcare provider would have to spend hours reviewing each claim, handle payment posting, and reconcile any claim submission errors. Now that entire process can be automated with the 835 ERA module from BillingTracker, ClinicTracker's premium medical billing software. This medical billing feature saves office staff from having to collect mail, file paper documents, manually post payments, and adjudicate claims with payors.
Another advantage of electronic remittance advice is that insurers pay electronic submissions faster, which improves your cash flow. The use of electronic funds transfer as part of your medical billing can further expedite the payment process.
Make Managing Claim Payments Less Complex
Because working with paper remittance reports has always been a painstaking chore, agencies have been jumping at the opportunity to automate this part of the medical billing process. According to studies on the benefits of using ERA, you will recoup your investment in just a few months, at most. In addition to the inevitable boost in operational efficiency in medical/behavioral health industry, you will also improve payment accuracy and accelerate the payment process thanks to electronic communication and electronic payments.