The headaches associated with preauthorizations

Want to successfully cut down the amount of time your office staff spends on the phone on obtaining preauthorizations? Try setting up pre-formatted templates since authorization is always done in writing either by mail or fax.  To cut down on insurance company phone calls asking for more information, your office should attach the latest physician documentation to substantiate medical necessity, the patient's insurance card and a prescription/referral.  Depending on the practice, consider CC'ing the preauth letter to the patients.  By doing this, you can reduce the amount of patient follow up phone calls to the office asking about the status of their authorization.  Your template should also include provider name & ID  numbers, place of service, CPT codes & units, and sometimes even the charge amount.  Once the procedue is approved, it'll have all the necessary information for the billing staff to obtain proper reimbursement.

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.