Ten Steps In Medical Billing Cycle For Easier

Ten steps in medical billing cycleThe procedure of medical claims production for an insurance corporation to get some returns from the resources that were used for medical services, bargained by workers and their organizations is called medical billing. There are Ten Steps In Medical Billing Cycle for Easier many Benefits of medical billing that can make your life easier.

However, this process is somehow lengthy and required more or less amount of work and time. The medical billing companies divide their work into stages Steps in medical billing to make it categorized and easier for the understanding of everyone including their clients and the aspiring public. The ten steps are as follows:

  1. Patient’s demographic data registration and validation

The entry of a person or patient’s demographic data scores is the second step. It includes all the information about the patient whether it be the medical history, race, ethnicity, social life, income etc. It can be done by the identity card or driver’s license, anything available. This record will help with claims and seamless communication. Moreover, it also records and updates the patient’s check-ins and check-outs.

  1. Pre-certification and authentication

The clients must be verified in the first step. The pre-certification and authentication for the eligibility of the clients saves everyone from future hassles and also from frauds and bogus claims. Insurance verification keeps the record steady and the communication road open. Insurance verification checks the income resources, expenses and all the financial responsibilities of the patients. Medical billing companies authorize the insurance of the person from insurance companies directly and store them digitally on softwares.

  1. Patient’s visit records

Medical billing companies keep all the data of the patient-doctor interactions for the health conditions. It helps in claims and coding.

  1. Medical Transcripts

The medical transcriptions are also part of the patient visit records, they are the audios, videos and reports of the patient-doctor meeting to maintain a proper billing condition. After these four steps, the actual billing procedure starts. This information was necessary according to the HIPAA rules

  1. Medical Coding

Now the suitable codes are given to the appropriate transcriptions. This process is to save one from reading every patient’s history and work according to the assigned code. That’s where only experienced and trained professionals can work.

  1. Medical Billing

The medical billing team checks the claim and patient records briefly to avoid any errors before actually sending the claim. The error can result in the denying of claims which affect the revenue generation cycle and AR i.e.  accounts receivable.

  1. Bill Conduction

The billing companies send the claims to the respective insurance companies in this step via electronic data interchange or EDI.

There can be three types of errors, which the company takes extra measures to not occur and corrects and resend the claims in the case of occurrence.

  • Scrubbing: Rejection because of empty compulsory fields.
  • Invalid information: Rejection because of false or old information
  • Insurance policies: Rejection because the claim is different from the insurance policies of the companies.


  1. AR management:

The accounts receivable or AR management team keeps a check on every submitted claim for any progress. It guarantees fluent payment posting procedures. They are also the ones in charge of correcting errors and updating account details and insurance policies.

  1. Denial Managing

These ten steps In Medical Billing cycle for easier to take care of the denials of insurance companies. The denial can be caused by any of the errors described above. This team follows up, communicates, and takes care of any error coming in between successful claims. It maximizes repayments.

  1. Payment Posting

This is the last step in the medical billing cycle. The team keeps updating the payment cycle and revenue generation. It also checks the validity of the payment.

These ten steps complete the cycle of medical billing services. They are fundamental to keep the profits cycle running efficiently.


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