Blog

How Can Outsourcing Slash Prior Authorization Costs by 70%?

Healthcare providers often grapple with the administrative burden of prior authorization (PA) processes. While keeping this function in-house might seem cost-effective at first glance, the hidden expenses—ranging from training staff to managing errors—can significantly inflate operational costs. In this article, we’ll uncover these hidden costs and explain how outsourcing your PA needs to a specialized provider like Staffingly, Inc. can save up to 70%.

Key Takeaways

• In-house PA processes can incur hidden costs such as training, technology investments, and inefficiencies.
• Errors in PA submissions lead to denials and rework, consuming valuable time and resources.
• Outsourcing to experts like Staffingly, Inc. reduces these costs while improving approval rates and turnaround times.
• Savings can reach up to 70%, freeing resources for patient care and other priorities.

Breaking Down the Hidden Costs of In-House Prior Authorization

1. Employee Training and Turnover

Hiring and training staff to handle prior authorizations is expensive. The complexities of different insurance plans, frequent policy updates, and coding requirements demand ongoing education.

The hidden cost:
Employee turnover disrupts workflows, requiring new hires to be trained, which temporarily reduces productivity. For smaller practices, these disruptions can overwhelm already stretched teams.

2. Technology Investments

In-house teams rely on software for tracking and submitting PA requests. Licensing these tools, upgrading systems, and ensuring compliance with privacy laws like HIPAA come at a significant price.

The hidden cost:
Managing software updates, technical issues, and integration challenges often exceeds initial budget forecasts.

3. Denials and Rework

Mistakes in PA submissions result in insurance denials. Correcting these errors not only delays care but also doubles the administrative effort.

The hidden cost:
Each denied claim requires additional hours to resubmit, leading to overtime expenses and lost productivity. Furthermore, delays in approvals can harm patient satisfaction, indirectly impacting the practice’s reputation.

4. Opportunity Costs

Time spent on prior authorizations could be better used on patient care or other revenue-generating activities. Physicians and staff often find themselves bogged down with administrative tasks instead of focusing on their core responsibilities.

The hidden cost:
Loss of focus on patient-centered care affects long-term growth and patient retention.

The Outsourcing Advantage: Save Up to 70%

Outsourcing prior authorization to Staffingly, Inc. eliminates these inefficiencies and hidden costs. Here’s how:

1. Expert Staff Without the Training Costs

Staffingly employs trained professionals well-versed in insurance policies, reducing the need for in-house training. Their expertise ensures accurate submissions and reduces denials.

2. Access to Cutting-Edge Technology

With Staffingly, you gain access to advanced PA management tools without the upfront investment. Their systems integrate seamlessly with your existing workflows, improving efficiency.

3. Error Reduction and Improved Approval Rates

Outsourced teams focus solely on PAs, ensuring compliance and accuracy. Fewer errors mean fewer denials, saving time and money.

4. Scalability and Cost Efficiency

Staffingly adapts to your practice’s needs, scaling services up or down as necessary. This flexibility ensures you pay only for the services you use.

5. Enhanced Focus on Patient Care

Freed from administrative tasks, your team can devote more time to patients, improving satisfaction and outcomes.

What Did We Learn?

While in-house prior authorization processes may seem manageable, their hidden costs—training, technology, rework, and lost opportunities—can quickly strain budgets and resources. By outsourcing to experts like Staffingly, Inc., these challenges are addressed with precision and efficiency. This not only eliminates unnecessary expenses but also provides a specialized team and cutting-edge tools that enhance your PA process. The result? A seamless, cost-effective solution that saves up to 70%, enabling your team to focus on delivering exceptional patient care and driving better outcomes.

FAQs

Q: Is outsourcing secure for patient data?
A: Yes, providers like Staffingly, Inc. adhere to stringent HIPAA compliance standards to ensure the privacy and security of all patient information.

Q: How quickly can outsourcing start saving money?
A: Most practices see immediate savings by eliminating training costs, reducing denials, and streamlining workflows.

Q: Does outsourcing mean losing control over the PA process?
A: Not at all. With Staffingly, Inc., you retain full visibility and oversight through regular reporting and updates.

Disclaimer

The information in our posts is meant to inform and educate both healthcare providers and readers seeking a better understanding of healthcare processes. However, it is not a substitute for professional advice. Insurance requirements, policies, and approval processes can vary widely and change over time. For accurate guidance, healthcare providers should consult directly with insurers or use professional resources, while patients should reach out to their insurance providers or healthcare professionals for advice specific to their situation.

This content does not establish any patient-caregiver or client-service relationship. Staffingly, Inc. assumes no liability for actions taken based on information provided in these posts.

For tailored support and professional services,

please contact Staffingly, Inc. at (800) 489-5877

Email : support@staffingly.com.

About the Author : Monica Michael is a seasoned Prior Authorization Specialist with years of experience in streamlining insurance processes for healthcare providers. She is passionate about simplifying complex administrative tasks to help hospitals focus on delivering exceptional patient care.