EPS Solutions

Paper claims processing overloads the system

The annual cost of health care in the United States is more than $2 trillion. About 15 cents of every health care dollar goes toward processing bills, claims and claim settlement.
 
That number could be substantially lower if more health plans and their care providers switched to electronic claims settlement. Currently, a mid-size health plan incurs annually:

• Approximately $1.8 million to print and mail checks and provider remittance advice (PRA)
• About $540,000 to void and reissue paper checks
• An estimated $1.6 million on provider calls to check claim status

Glossary of terms — commonly used terms and phrases in Electronic Payments and Statements