The Midland Group

A recent survey of hospital administrators found that almost 80 percent of respondents are concerned that Consumer Directed Health Plans will increase their bad debt within the next two years. Of these respondents, 43 percent listed more emphasis on collections at the time of service and post-discharge as their number one business objective to help deal with higher co-pays and deductibles.

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The survey was administered by TransUnion in conjunction with its annual Healthcare Users Group Conference. Concerns about increasing bad debt corresponded with increasing percentages of uninsured and underinsured patients by survey participants. It was also cited that increasing percentages of uninsured and underinsured patients also put a strain on hospitals' charity programs and underscored the challenge to hospitals to accurately segment charity care and bad debt on their income statements.

Anyone who has worked with a hospital's uninsured patient population knows how challenging it is to get some patients to cooperate with the charity application process. Providing tax returns, paycheck stubs, rent verification and other income and expense documentation can be a barrier for many patients who would likely qualify for full or partial charity care. Hence, the need to move this function as well as most collection functions to the front end when the patient's motivation to cooperate is optimal.

Hospitals that use The Midland Payment Plan receive extra help from Midland's customer service representatives who negotiate monthly payments with their patients. Often, Midland's customer service representatives will notify patient accounting staff of a patient who appears to qualify for charity care who may not have been identified earlier in the process. While negotiating a monthly payment plan with patients, Midland's customer service representatives are also able to document cases where patients appear unwilling to pay their hospital obligation even when given the opportunity to pay over an extended period of time.

Hospitals can be assured, however, that Midland's customer service representatives maintain a friendly and professional demeanor with every patient at all times. Our job is to represent the hospital and offer a flexible, patient-friendly payment plan that allows the patient to pay their bill in a dignified and respectable manner. Most patients appreciate the opportunity to fit the debt into their monthly budget, which is why the program is so successful.

To find out more about the The Midland Payment Plan, contact us at (888) 233-8825.