With increasing demand for healthcare services and decreasing reimbursement trends from insurance companies, medical billing and coding are more important than ever to ensure proper compensation to providers. Keep reading to learn more about the details of medical billing and coding.
What Is Medical Coding?
Medical coding is the process of translating a patient’s medical history of diagnoses and treatments received into a universal, alphanumeric shorthand used by healthcare providers and insurance companies. Each injury, diagnosis and medical procedure has their own unique code that will later be used to determine medical charges.
What Is Medical Billing?
After a patient’s chart has been translated into the correct code, the medical biller takes this information and files a billing claim in order to request payment from the patient’s insurance company. Once the claim has been evaluated, the biller determines how much the patient owes after insurance is taken out.
In the case of a delinquent bill, the medical biller may also hire a collection agency to ensure the healthcare provider is properly compensated.
Where Is Medical Billing and Coding Used?
The process of medical coding and billing is ever-present in the healthcare industry. Some of the types of institutions that use it are:
Home Healthcare Services
Medical Billing Agencies
Nursing Care Facilities
Many medical coders and billers work are outsourced or hired remotely. To learn more about the benefits of outsourcing medical billing, check out these 10 reasons to outsource your medical billing.
Want to find a solution for the coding and billing process at your practice? Contact an expert at NCG Medical today to start!