Will 2023 Be the Year of Outsourced Medical Billing?

February 3rd, 2023 - Find-A-Code

Many healthcare providers have chosen to keep medical coding and billing in-house. From HIPAA compliance to the complexity of ICD-10 codes, it has just been easier to keep track of things by not outsourcing medical billing or coding. But things are changing. So much so that 2023 could be the year that outsourced services finally take over.

Why is outsourced medical billing and coding expected to be so strong in the coming year? It is a combination of two things: a labor shortage and continued high demand for healthcare services. Simply put, the healthcare industry itself is expected to grow considerably. Meanwhile, healthcare systems are struggling to hire and retain employees.

The Great Resignation

If you pay attention to employment news, you are probably familiar with what is being termed the Great Resignation. The Great Resignation began almost two years ago, with millions of people leaving their jobs in hopes of finding greener pastures elsewhere. It was facilitated by the COVID pandemic.

No doubt the Great Resignation has slowed somewhat. Nonetheless, there are still millions of people who are no longer satisfied with the traditional work model. They no longer want to work for employers who treat them as resources rather than people. Some have started their own companies, others have latched on to gig work, and still others have moved from one employer to another.

What does this have to do with outsourced medical billing? Everything. Dissatisfied workers who have left traditional employment might be in a very good position to start their own medical billing and coding companies in 2023. Experienced billers and coders already know everything they need to about ICD-10 codes, ICD-11 codes, NPI lookup, etc. It simply a matter of learning how to apply that knowledge in a small business setting.

Some States Hurting More Than Others

The Great Resignation is hurting healthcare providers in some states more than others. For example, California and New York have witnessed a mass exodus of healthcare workers in recent years. It's so bad that some estimates suggest the two states could be facing a combined healthcare labor shortage of 500,000 just a few years from now.

If healthcare systems cannot find the staff members to handle medical coding and billing, the only other option is to outsource. The beauty of outsourcing is that partners do not need to be located in California or New York. Thanks to the internet and digital systems, outsourcing partners can be anywhere.

Expected Industry Growth

Formerly employed medical billers and coders looking to start their own companies have industry growth on their side. Healthcare itself continues to grow at a steady pace. More importantly, global demand for outsourced medical billing and coding is expected to grow more than 12% in 2023.

Here is the point: healthcare systems are turning to outsourced services more often than ever before. They will continue to do so next year. The demand for outsourced services will be there; it is up to independent providers to meet it.

The ironic thing is that outsourcing medical billing and coding relies heavily on the remote work model. It relies on digital data being transferred between networks and healthcare systems via the internet. So while outsourced medical billing and coding is expected to see tremendous growth, so is remote telemedicine.

We do not have a crystal ball capable of predicting what 2023 will look like for outsourced medical billing and coding. But if recent trends prove accurate, next year could be a very good year for new third-party medical billers and coders. It could be a particularly good year, indeed.


Questions, comments?

If you have questions or comments about this article please contact us.  Comments that provide additional related information may be added here by our Editors.

Latest articles:  (any category)

Artificial Intelligence in Healthcare - A Medical Coder's Perspective
December 26th, 2023 - Aimee Wilcox
We constantly hear how AI is creeping into every aspect of healthcare but what does that mean for medical coders and how can we better understand the language used in the codeset? Will AI take my place or will I learn with it and become an integral part of the process that uses AI to enhance my abilities? 
Specialization: Your Advantage as a Medical Coding Contractor
December 22nd, 2023 - Find-A-Code
Medical coding contractors offer a valuable service to healthcare providers who would rather outsource coding and billing rather than handling things in-house. Some contractors are better than others, but there is one thing they all have in common: the need to present some sort of value proposition in order to land new clients. As a contractor, your value proposition is the advantage you offer. And that advantage is specialization.
ICD-10-CM Coding of Chronic Obstructive Pulmonary Disease (COPD)
December 19th, 2023 - Aimee Wilcox
Chronic respiratory disease is on the top 10 chronic disease list published by the National Institutes of Health (NIH). Although it is a chronic condition, it may be stable for some time and then suddenly become exacerbated and even impacted by another acute respiratory illness, such as bronchitis, RSV, or COVID-19. Understanding the nuances associated with the condition and how to properly assign ICD-10-CM codes is beneficial.
Changes to COVID-19 Vaccines Strike Again
December 12th, 2023 - Aimee Wilcox
According to the FDA, CDC, and other alphabet soup entities, the old COVID-19 vaccines are no longer able to treat the variants experienced today so new vaccines have been given the emergency use authorization to take the place of the old vaccines. No sooner was the updated 2024 CPT codebook published when 50 of the codes in it were deleted, some of which were being newly added for 2024.
Updated ICD-10-CM Codes for Appendicitis
November 14th, 2023 - Aimee Wilcox
With approximately 250,000 cases of acute appendicitis diagnosed annually in the United States, coding updates were made to ensure high-specificity coding could be achieved when reporting these diagnoses. While appendicitis almost equally affects both men and women, the type of appendicitis varies, as dose the risk of infection, sepsis, and perforation.
COVID Vaccine Coding Changes as of November 1, 2023
October 26th, 2023 - Wyn Staheli
COVID vaccine changes due to the end of the PHE as of November 1, 2023 are addressed in this article.
Medicare Guidance Changes for E/M Services
October 11th, 2023 - Wyn Staheli
2023 brought quite a few changes to Evaluation and management (E/M) services. The significant revisions as noted in the CPT codebook were welcome changes to bring other E/M services more in line with the changes that took place with Office or Other Outpatient Services a few years ago. As part of CMS’ Medicare Learning Network, the “Evaluation and Management Services Guide” publication was finally updated as of August 2023 to include the changes that took place in 2023. If you take a look at the new publication (see references below),....

Home About Terms Privacy

innoviHealth® - 62 E 300 North, Spanish Fork, UT 84660 - Phone 801-770-4203 (9-5 Mountain)

Copyright © 2000-2024 innoviHealth Systems®, Inc. - CPT® copyright American Medical Association