Author Topic: fee for service  (Read 1949 times)

Traice Robinson,CPMB

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fee for service
« on: February 26, 2009, 10:14:33 AM »
I am meeting with (hopefully new client) tomorrow but he wants to charge fee for service can someone explain what does that mean for me, and would it be a good idea for me to take this assignment. 
Traice Robinson,CPMB


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Re: fee for service
« Reply #1 on: February 26, 2009, 07:23:17 PM »
I'm not sure what he means by 'fee for service' in regards to a billing service.  I'm guessing he means that he wants to pay a percentage. 

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Re: fee for service
« Reply #2 on: February 26, 2009, 09:04:52 PM »
I think he is looking for a flat fee. One physician stated to me he didn't want to deal with a billing service because the fees fluctuated too much. I work with DME and we have claims that can be 30K+. I have seen checks for 25K and more. If I am billing that and charging 8% he viewed that as what he would pay a biller for a month. He pays a flat fee of 5% for claims under 10k, and 1000 flat fee for claims 10k+. The physician stated that he didn't want to pay more simply because he made more.

My approach may be different from others, but I agree with the physician. I have worked in a physician's office and for some practices (even mentioned in forums) you have really basic biling. Me working at the physician's office for 15.00 an hr and getting 600 a week for exactly the same thing I do at home (minus the clerical duties etc) and getting it done in less time what have I lost? If I am able to work at home and earn 2000 a week would that be enough for me???

Its like some software charge a fee per claim, and some charge for the amount. If you do less than this you pay this rate. He may only have on average 100 claims per week, but what he recoups could be in the 5-6 digits and he doesn't want to pay a biller that price.

Billers N physicians have to have some median. A physician should be compensated for his skills just as we should. I just feel that If I can make in 2 hrs what most make in 8, Its a great deal for me. Maybe later in my career I may feel differently.


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Re: fee for service
« Reply #3 on: March 03, 2009, 12:37:27 PM »
He/she is looking for a fee schedule related to services you are offering. It's not that uncommon. For example he/she may want fee for sending claims, fee for pre-auth or eligibility screening, fee for payment posting, patient statements, etc.

In states where billing a % is considered fee-splitting you will run into this a lot, also with the OIG hot on the trail of trying to get rid of all % based (incentive fee splitting agreements) you will find more doctors wanting to pay for only the services they want to outsource or pay for.
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