Benefits of Outsourcing ASC Revenue Cycle Management

By Caryl Serbin, RN, BSN, LHRM

ASCs often ask me about what benefits they would gain by outsourcing their coding, billing and collections to an ASC-experienced revenue cycle management company. My first response is that it typically results in an increase in revenue as well as an improvement in the speed and consistency of reimbursement. This helps maintain a steady and dependable cash flow.

Areas where outsourcing usually delivers other advantages include the following:

Staff. Outsourcing eliminates:

  • the difficult process of finding and retaining certified coders and ASC-experienced billing and collection staff;

  • ongoing expenses of employing qualified personnel (e.g., salaries, benefits, vacation, sick time, training, continuing education, turnover); and

  • business office expenses (e.g., furniture, computers, telephones, office supplies).

Government regulations. Compliance with government guidelines and third-party-payor requirements can require at least a full-time staff member. In this time of increasingly complex and costly requirements and constantly changing billing rules, outsourcing eliminates the time, training and updates necessary to keep your staff current on:

  • Medicare and Medicaid

  • OIG


  • Federal reporting requirements

  • State requirements

  • Private payor requirements

  • Accreditation standards

Accounts receivable. Last, but certainly not least, outsourcing companies concentrate solely on your coding, billing and collections, with no other business office responsibilities or interruptions such as scheduling, telephones, lunch breaks and time off. This allows outsourcing companies to:

  • track and trend managed care;

  • optimize coding/payments; and

  • lower accounts receivable and maximize cash flow.

If your ASC is experiencing any or all of the following, you may want to consider outsourcing your revenue cycle management:

  • Increasing case volume

  • Difficulty finding qualified and experienced coding and billing personnel

  • Increasing business office staff salaries and benefits

  • Increases in accounts receivable that place the metric consistently above industry standards

  • Inconsistent cash flow

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