Definition of a Medical Billing Statement
The Centers for Disease Control and Prevention (CDC) states that, based on 2009 data, life expectancy in the United States is increasing while mortality is decreasing. This is in part because people are receiving more medical care--according to the American Academy of Family Physicians (AAFP), the average individual sees their doctor at least three times a year. All of these visits involve medical billing statements. These statements relate to the financial side of medicine.
-
Definition
-
A billing statement is a formal document that identifies services or goods that an individual has purchased. A medical billing statement thus is a document that identifies charges assessed for medical services and products.
A medical billing sample provided by Group Health demonstrates that a medical billing statement provides basic data that identifies the services or goods provided in medical care, as well as the cost of those services or goods. However, medical billing statements also may include the patient account number, patient address, the name of the insurance company involved (if applicable) and how long the charge has been active. A modern medical billing statement also may include a spot for writing in a credit card number and contact information for the preparer of the statement.
Function
-
Medical billing statements itemize every charge that an individual has acquired for medical care over a given period of time. They show what dollar amount of these charges insurance has covered, as well as the dollar amount for which the patient still is responsible to pay. They also identify the care provider. Medical billing statements thus alert patients that money is due to a particular medical professional or institution.
-
Users
-
Any medical professional or medical institution may use medical billing statements. This includes medical professionals who practice non-Western medicine (e.g., acupuncture). Insurance companies also make use of initial medical billing statements when they assess claims as a means of verifying that a medical professional prescribed or delivered medical goods or services.
Accuracy
-
2009 data from the Bureau of Labor Statistics shows that the health care industry is the largest of all industries, accounting for over 14.3 million jobs. Every single individual who holds a health care position is involved in medical billing, either directly or indirectly. However, ConsumerReports.org reports that as many as 8 out of 10 medical billing statements have some kind of error. Since improving this poor accuracy is a high priority, medical facilities now prefer bill preparers to have medical billing training. This training provides/explains error detection techniques, billing codes, what forms are needed and how to file/process a claim, according to DoctorsMedicalBilling.com.
Preparation
-
In the past, medical billing statements were handwritten documents, according to Charteroo. This made the process of medical billing time-consuming and prone to human error. As of 2010, better technology such as specialized software programs allow individuals in the medical field to prepare billing statements with fewer mistakes and greater efficiency. In fact, medical billing statements now are so easy to prepare that numerous companies offer work-from-home positions in medical statement preparation.
-
References
Resources
- Photo Credit Hospital image by Raulmahón from Fotolia.com
