Collect Copay at Time of Service to Save Money

Copay amounts are too small to warrant the cost of collection attempts after the time of service. The solution? Collect copay before the patient receives services! Remember the following four suggestions when working with collections:

1. Remind patients of their financial respon­sibilities. Alert them ahead of time—for example, when they make an appointment— so the request for money isn’t a surprise.
2. Ask every patient for money at every ap­pointment. This may seem like common sense, but some staff may hesitate. It can be tough to ask someone for money fresh out of a horrible exam; Most people don’t want to ask someone in distress for money. You have to get over that feeling.
3. Explain the consequences for the practice. Some patients just think it’s about the $10; They don’t understand that the doc is contractually obligated to collect. If a pa­tient still balks, document the refusal. Tell the patient he or she will be responsible for two copays at the next appointment.
4. Consider when to involve the physician. I believe in keeping the physician out of the collection discussion. However it is the doc­tor’s money, and he or she could have more success with the patient. Physi­cian interaction is a last resort.

About the Author

Reed Tinsley CPA

This article is written by Reed Tinsley, a Houston, TX-based CPA with over 30 years of experience advising physicians and medical practices across Texas and the United States. Reed holds certifications as a Certified Valuation Analyst (CVA), Certified Healthcare Business Consultant (CHBC), and Certified Financial Planner (CFP), specializing exclusively in the healthcare sector. He is a published author, nationally recognized speaker, and trusted advisor to physicians on accounting & tax, practice management, and financial planning. Schedule a Free Consultation.