Medical Staff

Q&A: What should I look for in a billing service contract?

Hospitalist Leadership Connection, January 26, 2010

A: A relationship with a billing service will mature over time, but the first step is entering into a contractual relationship. When reviewing the contract, look for:

  • Notices and potential penalties
  • Ownership of data and data formats
  • Automatic contract extensions
  • Written notice requirements
  • Termination options
  • Continuation beyond termination date

Before entering into a contract with a billing service, consult counsel who is familiar with this kind of contract. This is an additional cost, but it may save you time and money in the long run.

One last note on billing: A billing service will only be as good as the hospitalist service is at providing complete, accurate, and timely charges. Too many physicians view the billing side of clinical care as a nuisance and one they would like to avoid altogether. There are occasions when the billing cards or documents that the physicians give to the billing department are illegible, are incomplete, or are days, weeks, and sometimes months old. Physician compliance to the billing process is the single most important factor for the practice to successful.

The above excerpt is adapted from The Hospitalist Program Management Guide, Second edition, published by HCPro, Inc.

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