Segmenting Hospital Accounts to Maximize Cash. March 22, 2011 Garett Jackson, CFO HCA National Patient Account Services. Learning Objectives. Understanding the Self Pay Portfolio How predictive models were incorporated into the process
March 22, 2011
Garett Jackson, CFO
HCA National Patient Account Services
Insurance plans are paying less of the overall bill. Hospitals are left to get the remaining portion from the patient.
Gains upfront are not offsetting the increase in responsibility
More of the original balance was discounted.
Front-end collections from the patient are decreasing at the same time.
82% of SP calls don’t commit to pay
Payment from credit reporting
Payment from legal actions
Payment from aggressive collection activity
Identified as collection agency
Back Office (Early Out)
Payment from letters
Payment from contacts
Payment from re-billing
Customer Service Focus
Identified as Facility
Front End Collections
Payment at registration
Payment at discharge
Payment from billing
Mission Based Collection Practices
Used the Equifax ERS 3.0 scoring method, which ranges from 1 to 1000
Grouped number of accounts in scored index ranges of 100
Scores of 0 mean that no data was available
Scoring vendor provided six industry comparisons done by Equifax
Compared results against All Industries, Auto Finance, and Bankcard Industries
Work Effort is defined as Attempts, Contacts and Letters
Self Pay was analyzed for comparative purposes. However, the study compares Copay and Deductible in general.
Scoring vendor provided scores for approximately 241k accounts with a 96% score rate
Used a random sample of closed accounts
Statistical accuracy of sample is 95% +/- 4% as a valid representation of our inventory
Secondary Champion-Challenger with BPO partner. Used same technology and same processes, but BPO allowed to hire, train and manage own staff.
HCA processes performed 18% better than the BPO on an alpha-split champion challenge over a one year period.
Of the 40% Lift over external vendors, HCA can attribute 18% to people management, or roughly 45%.
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1. Feeling 2. Fact 3. Hidden
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