Improving Collections and Reducing AR Days for a Health System in the Southeast

Customer:
Started over 70 years ago, the Customer is one of the largest non-profit healthcare providers for seniors in the Southeast, and includes a hospital, long-term care facilities, skilled nursing homes, and ambulatory care.

Challenge:
Reduce Losses As a non-profit organization, the Customer relied on charitable donations that had dwindled with the recession. Facing operating losses each year, the customer’s leadership struggled to raise funds to meet these losses and to invest in new equipment for patient care. Reducing the operating shortfall and cutting costs were a strategic priority for the Customer.

Support Strategic Change The Customer had a new management team that had launched several strategic changes and its leadership was concerned that the Revenue Cycle team was not able to support the new plans. This was due to a recent increase in volumes from commercial payors and self-pay patients.

Manage Staff Anxiety Given its commitment to the community, the Customer wanted to minimize employment disruptions and maintain employee morale during revenue cycle restructuring.

Inventurus Solution
Inventurus combined rebadged customer staff with our proven rcm best practices to increase revenue and collections, while reducing days in AR and the cost of RCM

Rebadging Of Customer Staff: Inventurus took over the Customer’s RCM operations and “Rebadged” their RCM staff as Inventurus employees in order to ensure continuity and knowledge retention, while ensuring effective delivery as a vendor.

End-To-End Revenue Cycle Management: Inventurus managed all aspects of the Customer’s revenue cycle including front office processes (Registration and Eligibility Verification) handled by a team based on the Customer’s premises and back office processes (Payment Posting and AR Follow-Up) delivered from an Inventurus facility.

Preventing Denials: Inventurus reviewed denials and introduced process changes at the front end and back end to reduce “preventable” denials from ever occurring.

AR Follow Up: Inventurus also structured the AR team by payor group with a dedicated Denials Management team in order to improve AR resolution rates and increase productivity for the AR follow-up process.

Health System Increases Collections to 109% of Net Revenue and Reduces Days in AR by 10 days

Results
Increased Collections To 109% Of Net Revenue: Inventurus significantly increased Collections to Net Revenue by improving clean claims submission, reducing denials and recovering cash from the backlog of aged AR.

Reduced Days In AR By 18 Days: Rigorous follow up of aged AR and a dedicated Denials team helped the Customer reduce Days in AR from 51 days to 33 days.

Reduced AR > 90 By 38%: Focus on working the aged AR also helped to reduce the % of AR>90 by 38%.

Reduced Cost To Collect By 25%: By leveraging Inventurus’ delivery facilities in the US and India, while maintaining the “Rebadged” staff on the Customer’s premises, the Customer saved approximately 25% in RCM costs.