Indeed it’s been a whirlwind for healthcare providers recently as they scramble to stay afloat amidst a host of challenges that seem to grow by the day.
The pressure is on. While the focus since March of 2020 has been squarely on the global pandemic, healthcare executives are keen to point out that all of the serious health issues faced by patients that existed before are still present – and have been exasperated by the strains placed on healthcare providers.
Despite all the disruptions and once-in-a-lifetime extenuating circumstances, providers must not only keep operations going, but maintain a certain standard of care to satisfy regulations, some of which are evolving with the times and hard to keep up with. Ultimately, keeping everything going requires significant cash flow, which has historically been a major issue and is now nearing crisis levels for some healthcare organizations.
“Off the record, executives are sharing some heartbreaking stories with me. They are being forced to make some really tough decisions. Patient care needs to stay at a certain level. Employees deserve a certain level of stability. But balancing the two is becoming overwhelming in many instances,” says Chris Tucker, Director of Partnerships at Diplomatic AI. “That’s why I’m grateful that we’re able to extend them some help financially that doesn’t make them go out of pocket so they can get additional cash flow to cover some of their most pressing needs.”
As the financial pressure mounts, healthcare executives are exploring options they wouldn’t usually even consider. One trend that’s been on fire since late 2020 is known as “2nd Placement AR Recovery.” In essence, healthcare companies, due to the challenges of getting paid by insurance, billing and coding errors, and trusting unscrupulous collections agencies for years, are in a strange position where they are sitting on hundreds of millions of dollars of old Accounts Receivables, many of which are still before the Statute of Limitation, and are therefore still collectable.
This particular AR Recovery service is an usually great fit during the Pandemic because it’s usually done entirely on contingency, so there’s no out of pocket expense, it provides additional monthly cash flow to providers they otherwise would never get, and it’s passive, requiring no ongoing work or collaboration by healthcare executives.
“The key to recovering old unpaid accounts is being genuine and having a compassionate approach,” says Mr. Tucker. “Arriving at a peaceful resolution is the objective, and doing it diplomatically so it doesn’t upset patients or disrupt their lifestyle. Usually a long-term payment plan is the best avenue because it doesn’t cause much financial strain to folks. On the other side of the equation, healthcare providers are elated to finally get paid for the work they’ve already done and many really need the funds.”
One healthcare executive, who wished to remain anonymous, noted that while his company was ‘not thrilled’ to send thousands of patients to collections, it was ‘financially necessary’ given the fact that he had provided them care, and has been carrying the financial loss on his books for years. In an unusual way, it’s a happy conclusion because patients get the burden of their debts lifted from their shoulders without having to pay big lump sums right away, and healthcare providers are able to get immediate cash flow to pay down their own debts, keep their employees paid and cover other operational expenses.
“It could be your family, your community leader, your friend who ends up needing medical care so it’s important that healthcare providers are able to help them when they are most in need,” says Mr. Tucker. “This is our own unique way of giving back and making sure our communities continue to get the care they deserve during one of the most challenging times in history.”
For more information, visit www.Diplomatic.ai
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Company Name: Diplomatic AI
Contact Person: Chris Tucker, Director of Partnerships
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Phone: 1-800-358-9093
City: Sheridan
State: WY
Country: United States
Website: www.Diplomatic.ai
