Medical Billing Business - Should I go For It?

A medical billing business can be a lucrative one provided there is demand for it in your area and you have the necessary credentials to succeed.

Medical billing business involves processing, submitting and following up of claims on behalf of healthcare providers to the insurance companies in order to receive payments for services rendered.

Here's how the billing process works. After the healthcare provider sees and examines the patient, he/she prepares a record of the diagnosis, treatment and the duration of the service provided. This record is then either submitted to a billing specialist for processing or directly to the insurance company.

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Scope

Though there is lot of hype created regarding this career by companies that market medical billing course/software, the truth is that the competition is very aggressive in this arena. There are established big players specifically for this purpose and most healthcare providers and insurance companies use their services to settle claims. Taking this into consideration, it might get difficult to establish a medical billing business from home unless you have prior experience working in a billing business and have several contacts in the medical field.

You will also need to do a survey of your area to find out if there are any big billing businesses and also whom most of the physicians and insurance companies turn to for billing services.

Startup Costs and Requirements

One of the biggest investments that can go into starting a medical billing business is the software. Most billing software starts from $500 and can go up to tens of thousands of dollars. Apart from this you may also have to attend a course if you do not have a prior knowledge in medical billing. This can again range anywhere from $800 to $2000, if you want to take it through a reputed institution. Then the cost of office equipments like computers, printers, fax, modem, Internet charges, furniture, reference books, office supplies, etc. On the whole you can expect the start-up costs anywhere from $3000 to $5000 to start a medical billing business from home. Not to mention monthly rental charges if you intend to rent out a separate office.

Scams

You'll find countless ads for medical billing business opportunities on the Internet and newspapers. Most of these companies lure you with promises of huge income without any experience. They claim to provide you with everything you need to start a billing business for fees ranging from $300 to $500. This includes the software and list of clientele.

Very few who fall for such baits break-even let alone earn the promised income. To ensure you do not get scammed by such offers you should take the following necessary steps:

  1. Request for a list of consumers who have purchased their package for reference. If they provide, a substantial number, call them to enquire about their service and their success. Don't fall for 2 or 3 names who may be in fact just hired to provide positive feedback of their services.
  2. Check with BBB or your State attorney if there are any complaints registered about the business opportunity. Please note that if the business opportunity is new, there may not be any complaints at all.
  3. Consult your lawyer before signing any documents as there may be some fine prints that may not be noticeable to your eyes.
  4. Enquire about the software they provide and its authenticity. Is it new or outdated?

A medical billing business can indeed be a lucrative one but lot depends on the prevalent market and your willingness to succeed. If you think there is still some market to be tapped and you have the necessary qualifications to succeed, then by all means go ahead.

Medical Billing Resources

Distance Learning Courses

Campus Courses

  • Allied College
    http://www.alliedcollege.edu/programs/medical-billing-coding/info/
  • Bryman College
    http://www.bryman-college.com/Medical-Insurance-Billing-Coding-training.php
  • High-Tech Institute
    http://www.hightechinstitute.edu/programs/medical-billing-coding/

Websites

Books

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