Although small administrative errors may seem insignificant, if overlooked and not dealt with effectively, these could lead to a serious lack of revenue for the dental practice you’ve worked hard to build and grow.
Sometimes adding up to hundreds, if not thousands of dollars in lost revenue annually, administrative errors could be preventing your practice from ever being profitable. Engaging with dental accounting services can help you identify revenue-draining errors, and put a plan in place to stop them from happening in the future.
Here are some common administrative errors that could be affecting your practice’s bottom line:
Slip-ups during scheduling
Patient cancellations or reschedules can of course hit a practice hard financially, but if your team are double-booking appointments or wrongly scheduling, gaps could be created in your schedule that are difficult to fill.
Mistakes when verifying insurance claims
When the insurance verification process isn’t carried out correctly, denied claims and unpaid balances typically ensue, leaving you with unhappy patients.
Blunders during billing
Making even the smallest of errors when billing, such as missing a deadline or using incorrect coding, can cost a practice dearly; in some instances, as much as 5-10% of its annual revenue.
Inadequate patient follow-up
When you follow up with your patients, you’re not just providing a good level of customer service, you’re also ensuring that treatment plans are completed, and payments are collected. Fail to follow-up sufficiently, and this could soon be reflected in your profit margin.
Inaccurate patient records
When mistakes are made in patient’s records, this can easily lead to compliance fines, errors in billing and a whole host of other revenue-draining problems.
Workflows that are inefficient
If tasks aren’t being delegated properly, or work processes aren’t being updated often enough, your workflows will soon become fragmented and inefficient, leading eventually to a loss of money.
Neglect of denied claims
If denied claims aren’t quickly followed up on, money could very well be left on the table. For a healthy revenue cycle, it’s imperative that all denied claims are addressed promptly.
Overlooking accounts receivable
Without an experienced dental accountant to manage your accounts receivable, your practice may soon begin to experience problems with its cashflow that could become crippling, financially.
Breakdowns in communication
Whether miscommunications are taking place between your team, or your patients, the consequences can be disastrous for a practice, with errors popping up in billing, scheduling and the planning of treatments.
Lack of team training
With staff that aren’t properly trained to use practice software, or in billing and compliance, a practice can experience significant revenue losses over time. Even if you’ve already invested in the expertise and guidance of specialist accountants for dentists, investing in team training usually plays dividends and can prevent a loss of revenue, as well as enhance productivity; a win-win for dental practitioners.
Don’t let avoidable administrative errors strip your practice of its profits. Work with a dental accountant to keep your books and your finances in order, and be mindful of everything listed above. With team-investment and a keen interest in your practice’s financial journey, you can hold on to more of your hard-earned revenue.
