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7 Surefire Medical Billing Errors That Will Wipe Out Profit

 7 Surefire Medical Billing Errors That Will Wipe Out Profit

There’s no doubt about it, medical billing errors can easily wipe out profit and put a medical practice under severe pressure. It can be costly to your patients too. Miscommunication is common and even more so now with legislation changes that happen all the time. Human error will always occur from time to time but when it damages your business, it needs to be kept to a minimum.


 Here are 7 common medical billing errors can easily wipe out profit :


  • Separate billing on charges that should be added together.
  • Duplicate billing. This often occurs when more than one person is involved in the procedure and both send bills out, believing it to be their responsibility.
  • Forms being filled in the wrong. This can be costly to both the patient and the company. Often insurance companies will not pay out if the information is not correct.
  • Upcoding is illegal but does happen. A medicine that has been prescribed is billed as a more expensive one and this inflates the bill. This practice would quickly damage any business through a legal process and quickly create a lack of trust from patients.
  • Balance billing mistakes, when an insurance company negotiates a price with a medical billing company, it is important that the practice and the patient are aware of the exact costs covered. This is an area that should be as transparent as possible.
  • Incorrect patient information. This happens very easily when there are several people involved in a patient’s care. Even misspelling the name of a patient can be sufficient for an insurance company to withhold on a claim.
  • Matching treatment to costs. Sounds a bit obvious but, this error is surprisingly common. A patient may have had changes to their medical treatment but these changes, have not been listed on forms. This can again cause delays before insurance companies will settle. And it will create medical billing errors that will wipe out profit.


Errors in medical billing costs practices across America a staggering $125 billion a year. Even a small mistake will cause an insurance company to refuse to pay and as a result, this means having to resubmit forms and this is costly in both time and money. And that is how medical billing error that will wipe out profit.


This can be avoided to a certain extent if health care workers who operate within the admin side of the business are kept up-to-date with the latest company procedures. This is also true of the legislation that is constantly being brought in through a series of changes. It is very important for staff to be aware of them. And it is one of the main  Medical Billing Errors That Will Wipe Out Profit.

These are just extra headaches that pile pressure onto medical health practices. This alone is the reason why many practices swap over to an outsourced company to handle their medical billing. By doing this they, of course, take off the pressure and the costs are often paid for by an increase in profits and staff being able to do what they do best which is, of course, treating more patients. This results in higher confidence levels which are reflected right through the company. There are of course many arguments for and against outsourcing and so, it’s important that you consider what is right for your medical practice. In the main, most people see outsourcing medical billing as the way forward now.