Medical debt is a growing issue that affects individuals and families across the nation. Many...
November 9, 2022
The current healthcare system in the U.S. is opaque, confusing, and frustrating. A lack of cost transparency leads to a number of problems for patients and providers alike. However, greater transparency can lead to tangible benefits for both patients and providers. FinPay can offer greater cost transparency. Contact us at info@finpay.com to learn how.
While there are numerous benefits to cost transparency in healthcare, especially behavioral health, three of the most important will be explored below. Implementing cost transparency for most providers is difficult because of the patchwork nature of healthcare. The average American must navigate a confusing and frustrating process with lots of moving parts, none of which seem to work very well together.
Consider that the average U.S. patient will have to interact with any or all of the following components of the consumer healthcare experience:
- Their primary care provider
- A specialist (such as an oncologist for cancer treatment) or a specialized facility (such as an addiction treatment center for substance use disorder)
- The treatment center or hospital, including various separate departments (admissions, billing, etc.)
- Their insurance company
- Their personal finances for anything not covered or unexpected expenses
Now add in additional complications like transportation issues, commonly faced by low-income or mobility-challenged individuals, or additional burdens such as finding childcare for single parents or coverage for caregivers who look after an elderly relative.
Is it any wonder that according to the Kaiser Family Foundation, 27% of American families delayed needed medical treatment because of concerns about costs
Three Benefits of Cost Transparency in Healthcare
1. Cost Transparency Leads to Better Health Outcomes
When patients can see the cost of their care upfront, they can make more informed decisions about their health. Patients who have a clear understanding of the costs associated with their care are more likely to adhere to their treatment plan and make healthy choices that prevent complications or exacerbations down the road.
2. Cost Transparency Leads to a Reduction in Administrative Burdens for Providers
In a healthcare system that lacks cost transparency, providers often bear the brunt of the administrative burden when it comes to billing and collections. When patients are unable to pay their bills, providers are often left with unpaid invoices and mountains of paperwork. This not only takes away from the time providers could spend with their patients, but it also puts a strain on already-overworked staff members.
3. Cost Transparency Can Help to Reduce Overall Healthcare Costs
When patients are able to see the cost of their care before they receive it, they're able to shop around for the best price. This increased competition among providers can help to drive down the cost of healthcare services overall. In addition, patient engagement increases when patients are armed with upfront pricing information, which can lead to better health outcomes and lower costs.
Contact FinPay for Automated Payment Solutions
Cost transparency is a critical step in creating a healthcare system that works for everyone involved—patients, providers, and payers alike. By increasing cost transparency, we can create a system that is more efficient, effective, and affordable for all.
FinPay is committed to helping patients and providers understand the true cost of care so they can make informed decisions about their health moving forward. Through pre-engagement, providing financial literacy, and offering clearly defined payment options before any services are delivered, we eliminate the problem of patient medical debt and provider uncollected revenue before it begins.
Contact us today at info@finpay.com to learn more about our automated payment solutions or schedule a meeting with us below.
