The stakes for calculating reserves are high, the cost of miscalculation steep. Nobody likes surprises, but preventing them is extremely difficult; the reserve calculation process can be error-prone and highly resource-intensive. Contract rules for each asset class are so complex that applying them to an entire receivables portfolio and comparing it to actual results is fraught with uncertainty. With reimbursement rules becoming more complex, managing reserves is becoming more difficult.

But you don’t have to lose any more sleep. MedeFinance Reserve Analytics is a hosted, on- demand analytic application designed to improve your accuracy in calculating reserves. By aggregating data from multiple sources into a single up-to-date picture, you can get a system- wide, detailed view of your entire receivables portfolio.

Every day, hundreds of hospitals use MedeFinance’s intuitive dashboard and familiar “point and click” capabilities to answer questions like these:

• How much of my current receivable portfolio is likely to be uncollectible? How much from payer denials? How much from bad debt?
• Is our A/R aging curve performance consistent with historical trends, or do we need to adjust reserves accordingly?
• How have our reserves and underlying factors compared historically to our actual uncollectible performance?
• How do admissions, utilization, payer contracts, and other factors impact my reserve amounts? What are the root causes driving up bad debt?
• Are there changes in denial patterns that will impact my reserves?

Our exclusive Reserve Analytics help healthcare financial managers and executives to:

Improve the Accuracy and Reliability of Your Reserve Calculations

Gain the ability to quickly assess likely uncollectible transactions based on a detailed, bottoms- up claim and item-level analytics not previously possible. Assign scores based on payer contract terms, self-pay credit scoring, and a variety of other factors. Develop reserve numbers with confidence, knowing 100% of your current receivables portfolio has been assessed, thus providing a truer representation of expected revenues, doubtful accounts, and reserve amounts.
Use Reserve Analytics to:

• Gather a detailed system-wide view of your entire receivables portfolio.
• Proactively segment and score your portfolio by a host of factors, such as asset class, payer contract terms, past uncollectible experience, aging curve changes, and open and closed claim status.
• Determine the likelihood of payment, your net collectible revenue, your doubtful account liabilities, and your reserve amounts from a detailed, bottoms-up calculation previously unavailable.
• Nail your best course of action by assessing multiple scenarios, such as different reserve calculation methods, accounting treatments, and carry-forward strategies.

Reduce Administrative Time and Cost Compared to Manual Calculations and Statistical Sampling

Since you’ll no longer need an army of analysts to conduct reserve calculations, you can analyze reserve adjustments and gain auditor buy-in to calculation methods on a recurring quarterly or even monthly basis, instead of annually. You can also:

• Quickly analyze 100% of your current receivables portfolio, even from multiple systems and data sources.
• Reduce the administrative, accounting, and consulting fees incurred when assessing detailed claims by payer class, or reduce sampling to validate automated scoring.
• Easily estimate system-wide gross charges and net revenues, which normally are difficult to achieve across disparate enterprise systems, spreadsheets, and ad hoc reporting tools.

Identify Underlying Root Causes to Continue to Improve Reserve Performance

MedeFinance Reserve Analytics gives you unprecedented access to net revenue, doubtful accounts, and reserve provisions, enabling you to take optimal reserve allowances and flag potential bad debt before it can surprise you. It also enables you to:

• Eliminate time-consuming manual collection of payer receivables stored in PC-based databases and in spreadsheets on desktops throughout your entire enterprise.
• Predict your future reserves even more precisely via detailed recordkeeping you can reconcile with actual performance.
• Improve overall financial performance by immediately identifying and distributing exceptions to the field, before they become high risk accounts and when they can still be collected.

Software and Services Available On Demand

Because MedeFinance is a hosted service, it’s always on and instantly available. It’s virtually maintenance free, so your IT organization can focus on supporting your primary mission of patient care. Our Client Services staff is comprised of industry-leading consultants who are experts in health care financial performance, HIPAA, and all other relevant technological and regulatory requirements – all of which enables us to deliver very rapid time to value, with very little risk.