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What Are The Types Of Medical Billing System? And What Are Powerful Ways For Improvement

· life-pharmacy-uk,Online Pharmacy,uk-pharmacy

Medical billing is the system where a healthcare provider submits treatment documents, follow-up details, and claims money from the insurance companies against the services offered to the patient. Medical billing system is a huge part of the modern healthcare sector. This system can be broadly divided into three categories:

Open system

Open medical billing systems are meant to develop efficient collaboration between the healthcare providers involved in a patient’s treatment. The software like AdvancedMD, AllMeds, etc. are used under this system. The data entered at one end can be easily transferred to the healthcare practices, facilities, online or offline chemist etc. through this software. It’s crucial to protect the patients’ privacy while using these systems. One of the best examples for this system is Electronic Health Records (EHRs) as it makes the sharing of patients’ healthcare reports more feasible.

Isolated system

Personal Health Records are the best examples of Isolated billing systems. In this scenario, the patients individually hold their medical records with zero involvement from the end of healthcare practitioners or the entire network. This system is framed to help the patients manage their healthcare records. However, some PHR software allows the patients to add to the official medical records.

Closed system

The medical records stored in a closed system are strictly non-transferable even to the laboratories or emergency care facilities. The Electronic Medical Records are one of the best examples for this system. However, they are the digitalized traditional medical charts that have been prepared on-paper in older days.

How to improve medical billing system?

The medical billing system has adapted many changes. Yet there are certain areas where it can improve for better billing and medical records handling. Here are some tips to improve medical billing system:

  • Introduce automation to the system
    Technology has evolved in a way that it automates all the tedious tasks in almost every field. Use it for automating the billing chores like claim filing, payment remainders, up-gradation of the systems according to the new insurance rules, etc. By automating this minute duties, the staff will save on its time and efforts that can be invested in the revenue impacting solutions.
  • Streamline the claiming processes
    Claiming for individual insurance charges is a tedious job especially when you are a specialist crowded with a significant number of patients in your hospital. Mass claim creation and filing is the easy way out of this turmoil. Sit for some days, make your claim filing process and assign members to monitor the process. You need not to look after every step and will save on time and energy that can be directed to providing better healthcare services.
  • Use business intelligence for evolving your strategies
    Business intelligence software is equipped with AI that can sense the areas where you need to improve when it comes to medical billing. For example, you might be in need of extra staff, enhancing staff productivity or solving the payment errors. The modern billing software provides you with a detailed report of your billing activity that can help you gain more insight into such spaces that can help you improve the system.
  • Collect thorough information about the patient
    The medical billing procedures will become easier if you collect every information right from the name, contact details, to the patient’s social security numbers. The data collection should be highly accurate to eliminate the chances for rejection of the claim.


Thus, medical billing systems are highly complex and can be divided into open, closed, and isolated systems. There is a huge room for improvement in the system and you should constantly notice the stages that are offering a tiring job to your staff. Automate these steps for a better outcome. Reach out to Life pharmacy at UK for more details.

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