Be it offshore or onshore medical billing, the important aspect to consider is the technology, expertise and security of the agency. Faced with dwindling margins and fewer reimbursements, an increasing number of medical centers are looking for methods to cut costs. As a result, many hospitals have turned to professional outsourcing businesses to handle their revenue cycle management (RCM), which includes coding. Many healthcare providers are now comparing the potential savings of using an offshore company versus the familiarity afforded by onshore billers, as medical billing companies are inclined towards offshoring their services.
If not properly handled, outsourcing coding can be a difficult process. Experience becomes the most valuable asset in this situation. Expert management and transition professionals with years of expertise in building tailored outsourced coding solutions will guide the hospital’s business through a smooth transition, allowing finance managers to focus on revenue growth and other long-term initiatives rather than coding.
It’s not just about saving money when you outsource, but by freeing up time to focus on growth, the ideal outsourced coding agency can help assure long-term financial stability. On the one hand, onshore businesses are what you see every day; on the other hand, offshore businesses are a completely different concept.
1. Offshore Billing
An offshore agency is a legal entity formed in a jurisdiction other than the investor’s own. The reason for this offshore incorporation is because offshore jurisdictions can provide beneficial tax treatment in the form of reduced or even zero taxation. One of the main advantages of offshore coding is that it is available around the clock and on weekends. Organizations can move their coding operations to a 24/7 operation using offshore coding, minimizing swings in discharged-not-final-billed. Another significant advantage of offshore coding is the cost reduction. Offshore services are usually less expensive than those offered in the United States. Some other advantages are as below
- Privacy – An offshore company isolates you from your business, assets, and liabilities as a separate entity.
- Confidentiality – This may be the most significant distinction between onshore and offshore businesses. The company’s specifics, as well as the controlling shareholders, are kept hidden from the general public. Unless a criminal inquiry is underway, no one’s identity will be revealed.
- Taxes – Non-resident corporations are taxed differently in most offshore countries. In these nations, offshore firms enjoy a special status that exempts them from local taxation. There is likewise no tax on overseas earnings or capital gains.
Doctors, nurses, and certified coders are among the clinicians used by international coding corporations to fulfil the coding role. For offshore vendors, the best strategy is to house all employees in a single, centralized location with direct monitoring and security management.
2. Onshore Billing
Most entrepreneurs will be drawn to onshore enterprises because of their favorable benefits. Time-zone differences aren’t an issue because your company is incorporated within your own country. Because your staff aren’t on the other side of the world, you won’t have to worry about late-night meetings. Because you may check with your local specialists at any moment, the policies and guidelines are easier to comprehend and follow.
To establish secure data, software, hardware, network, and physical infrastructure, today’s outsourcing solutions—onshore and offshore—must adhere to the most recent HIPAA patient privacy regulations. The location of coders is less significant than the expertise they possess. Onshore, offshore, or a flexible hybrid solution should be the engagement model of choice for hospital financial managers. Outsourcing coding can help minimize operational and capital expenses by up to 40%, optimize income based on compliance coding standards, improve patient happiness, and increase productivity by harnessing people, practices, and software.
Info Hub Consultancy Services, an offshore medical billing company possesses the expertise and experience that you need to ensure error-free billing and timely reimbursements. We have the technical know-how to increase your profits and reduce overheads, thus letting you focus on your primary task of treating your patients.