The rising popularity of high deductible healthcare plans means one thing: patients play a much larger role in hospital revenue. Over the last five years, patient share of hospital revenue has increased to as much as 30%. This isn’t a concern so long as patients pay. The problem is two in three don’t.
It’s no surprise — healthcare is expensive. And, it shouldn’t be a surprise that when 75% of patients don’t understand their medical bills, they don’t pay. Patients prioritize other expenses like housing, utilities, and food over medical care. How do providers solve for this problem? Payment plans.
In the past, patients were expected to pay their medical bills in full and all at once. Now with technology like Simplee, patients can access customized payment plans creating substantial ROI for providers proving that patient financial care “pays” off big time.
Meeting Patient Demand
As patients owe more in the form of co-payments, deductibles, etc., the amounts are higher than before. It’s essential for providers to shift perspective and view patients as active stakeholders since a raising percentage of a hospital’s revenue stems from the patient.
As in any buyer-seller relationship, the needs of the buyer must be met for the seller’s revenues to increase. A system that does not make the patient the first priority runs the risk of brand damage, decreased revenues, and decreased patient retention.
When the Patient and the Health System Both Win
So how does the patient and the health system both win? Through efficiency and transparency. Patients expect to pay their medical bills as they do with any other typical expense — aka they want options.
As the healthcare industry shifts to include more and more tech advancements, patients want more information about the cost of services and the services themselves. Here’s the breakdown on the need for greater transparency:
- 92% of consumers want to know payment responsibility prior to a provider visit
- 74% of consumers are confused by Explanation of Benefits (EOBs) and medical bills
- 73% of providers report that it takes one month or longer to collect from patients
And, while 52% of patients prefer to receive their medical bills electronically, 77% of patients still receive paper bills. Those that have access to online billing are far more likely to stick with their current provider. What’s more is that they are five times as likely to recommend said provider to a friend, coworker, or family member.
To meet patient needs, providers need a consumer-centric platform that engages the patient at pre and post service to provide effective, clear, and actionable information about their medical services. Simplee’s platform does just this with online scheduling, a price estimate before the appointment, and access to monthly payment plans.
Hospitals that have implemented systems like Simplee’s are already seeing the results with the solution increasing revenue collections by 67%. With a five times ROI across the board, if the patients don’t speak for themselves, the numbers sure will.