Is it possible for a county jail to save over $100,000 in no more than three months just by switching to a new healthcare management company? Well, you may already know where this is going: it’s certainly not far as possible as proven by the folks of Harrison County, according to an article published on Sun Herald.
How did the county jail manage it? California-based health management company CorVel Corp. stepped in, helped sort out the company’s bills, recommending the amount they should actually pay based on Medicaid reimbursement rates. Prior to when CorVel Corp. stepped in, the county doesn’t have the resources to audit the bills and “make sure the rates are where they should be,” according to county attorney Tim Holleman. But this is not mentioning that physicians have also refused to treat inmates with Medicare rates.
Over 800 inmates are treated by the county infirmary every day. They are sick with a wide range of health illnesses, including degenerative ones like heart conditions and cancer. Inmates with these diseases, and emergency cases are costly.
In 2012 the county spent over $2.5 million on inmates’ medical expenses. You can just imagine how much the prison will be saving with the new billing method. As mentioned earlier, the county jail has saved over $100,000 in less than three months—what more in a year?
What can your institution do to save up on medical costs if switching to a new health management company is not an option? Found below is a summary of tips from an article titled 10 Ways to Cut on Your Medical Bills on Kiplinger.com:
Exercise your negotiating powers. If you have the budget, cut a deal with your partner healthcare provider. You may just get a discount for each case if you pay an upfront amount of money for healthcare services rendered to employees.
Switch to generics. According to an article titled on Kiplinger, you can save a huge chunk of money by simply opting for generic drugs which is 30 to 60 percent much cheaper, based on UnitedHealthcare data. Kiplinger notes that that insurance providers now have copies of the cost of brand name and generic drugs and can help you choose an alternative that’s cheaper but equally effective as the medications your institution has in stock.
Research and partner up with the right healthcare facility. All it takes is a few click of the mouse or hospital visit to know whether you’ve partnered up with the right healthcare provider, or have made a terrible, not to mention, costly mistake. Compare test costs among hospitals in your area or check out online tools like Cigna or Aetna. You can also give your insurance provider a ring for some advice.
Oprah.com also advises hiring an independent medical claims investigator to “fight your battles” for you. These professionals go through each item on your medical bill to find out whether errors exist, and if you can bring down the costs of your institution’s medical services. They do not charge much, and usually ask for about 20 to 35 percent of salvaged costs from your bill.
We all know for a fact that healthcare in the United States is increasing every year; Aetna forecasted health care spending to reach $4.8 trillion in 2021. It’s inevitable, but never unmanageable—not if you pay smart, and really know what you’re paying for.
Learn how to do medical billing and coding by enrolling in Meditec.com’s courses. Connect with our representatives today and learn more about our medical billing course packages.