You can significantly expand your DME business with nursing home and hospice contracts, but only if you do it right.
A single LTC contract could expand your customer base by 300 or more patients, but with super-tight margins, those 300 patients could cost you more than they earn. The only way a DME Provider can use LTC contracts to increase revenue in today’s environment is to have technology that streamlines the process and eliminates costly overhead and errors.
LTC contracts provide new and significant revenue streams to DME providers and a reliable customer base with a constant need for sales and rental products. And, of course, LTC contracts mean that you are invoicing, not submitting for reimbursement, which can significantly improve cash flow.
The danger in developing nursing home and hospice contracts is the process of taking orders. Having nurses phone into your business to place orders, service requests, deliveries, etc. can lead to errors and misunderstandings. These errors lead to costly penalties. With margins as tight as we’ve ever seen them, the cost of processing and correcting LTC orders can often exceed the revenue they generate.
The only way that DME Providers can benefit from the significant revenue potential from LTC providers is to have technology that automates and streamlines the order and delivery process. Bonafide is the only DME software company that offers an online portal for both rental and sale items.
The Bonafide Facility Portal allows nurses to directly:
This technology completely eliminates the need for nurses to call into DME Providers and engage in lengthy order processes. Nurses can take care of all the details on the DME provider’s web portal and everything is date and time stamped so that if there are errors, the costs for those errors don’t fall on you.
Additionally, our system can differentiate between per diem orders, rental orders, sale orders, fee for service items, and more. LTC billing is complicated, and we are the only system that can handle the complexity and ensure that invoices are accurate and backed up by digital time stamping so there are no questions after the fact.
Your Bonafide system automatically sends invoices once per month, further reducing your overhead costs for servicing LTC contracts. Of course, you need to have the warehouse and delivery infrastructure to fulfill your contracts. Bonafide has some awesome technology to help there, too.
Bonafide Management Systems announced today that it has released improved features in its integration with McKesson Corporation. The comprehensive EDI integration, which has been in place since 2013, allows Bonafide’s DME customers to improve patient satisfaction. The improved features streamline business operations by providing a fully-integrated DME environment in which to manage the complexities of the supply chain across multiple vendors.
“McKesson and Bonafide have streamlined order and fulfillment by creating a robust integration that features the 832 product catalog, the 850 PO, the 855 PO Confirmation, the 810 Invoice and the 856 Advanced Ship Notice,” says Jillian Small, Senior Manager of Product Innovation at McKesson. “The catalog eliminates the need to manually maintain products, while the PO allows for submission of clean orders without leaving the Bonafide platform. The confirmation of the PO provides visibility into order status and the invoice allows for easy reconciliation. Finally, the advanced ship notice provides confirmation that the order is on its way with detailed tracking information.”
“We are pleased to have been able to able to innovate alongside McKesson and expect the partnership to expand, giving our customers access to other even more functionality as the DME market continues to evolve,” says Sam Saw, vice-president of Bonafide. “It is critical for our DME customers to be able to more tightly integrate the supply chain allowing them to improve service and reduce costs. Our advanced software and technology implemented on the Amazon Web Service (AWS) Cloud Computing Platform allows us to quickly integrate with our partners, offering them a painless path for advanced integration.”
In addition to McKesson and McKesson Pharmacy, Bonafide offers supply chain integration with VGM, Sleep3, AmeriSource, Deroyal, DSD Medical, First Choice Medical Supply, Geriatric, GulfSouth, HD Smith, Independence, Invacare, Invacare Supply Group, Medline, Respironics, Ross and Sigma Medical, and more.
By Michelle Tohill
Last October, the United States adopted EMV standards, requiring a new card reader for most retailers accepting cards. This new structure adds costs to an already stretched DME business, but it is essential to reduce the risk of being liable for credit card fraud, which could destroy your business.
A lot of the information available about EMV makes it seem complicated. Here is a simple review of what it is and what you should do about it:
>> EMV cards have drastically reduced credit card fraud in other countries, and it is hoped they will have the same impact in the US.
>> Beginning Oct. 1, 2015, US retailers that do not offer EMV processing machines are liable for credit card fraud conducted at their business.
>> The majority of US credit cards are now distributed with EMV chips, and most consumers are becoming familiar with the use of EMV chips vs. the traditional swipe method.
>> Many retailers have been frustrated about EMV-compliant hardware and software, which adds both hard costs and training time.
>> Although new EMV procedures can be frustrating and expensive, not implementing them means you are at risk for fraud liability.
To get started with EMV, speak with your retail card services or billing vendor. At Bonafide, our team is ready and willing to support you in making the transition to EMV. Let us know if we can help!
by Michelle Tohill
Electronic Health Records (EHR) software can significantly improve your practice on almost every level. But since the average cost to purchase and install an EHR system ranges from $15,000 to $70,000* per provider, you want to be really smart about making the right choice.
Here are some questions to help you determine what matters most to you. Rank the following options in terms of highest to lowest importance:
2. Fee structure (e.g. subscription vs. installed)
3. Ease of use
4. Technical support
5. Opportunity for software customization
6. Practice management system integration
7. Billing system integration
8. Eligibility verification included
9. Staff training
10. Software update schedule (e.g. daily, quarterly, annually)
If you are currently using an EHR, are you happy with its performance based on the above conditions? If you are getting ready to start “shopping” for a new EHR, take these conditions with you and ask the companies you are interviewing how they perform on each level.
Michelle Tohill is Director of Revenue Cycle Management of Bonafide Management Systems and oversees all billing programs and processes. Her specialty is conducting AR audits to expose inefficient billing practices that fail to fully reimburse physicians for their work. She conducts AR audits and provides Bonafide customers with training and consulting on how to improve every aspect of billing and practice management to maximize revenue.