The AMA said one-fifth of all claims in the country are mishandled. Begun in 2008, the association’s annual “National Health Insurer Report Card” rated the nation’s eight largest health insurers in how they handle claims. They concluded that if all problems were resolved the system would save $15.5 billion annually in administrative costs. Now that’s a huge amount of savings for our nation’s health system! Doctors have long complained about excessive paperwork required to satisfy insurance companies. Former AMA President Dr. Nancy Nielsen says that, “Each insurer uses different rules for processing and paying medical claims, which cause complexity, confusion, and waste.”
With such a problem affecting prescribers, patients, and payers, it is only natural that the use of electronic claims processing software by prescribers will aid in reducing the plethora of inefficiencies that currently exist. Dr. Nielsen further said that, “Simplifying the administrative process with standardized requirements will reduce unnecessary costs in the health system” that often requires doctors to file different forms to each insurer. We know prescribers can adopt the necessary software and utilize clearinghouses to facilitate the claims process but payers must also meet the prescribers half way by adopting efficiencies within their processes.