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ROI Impact
After implementing nTelagent’s Retail Application, providers can expect to significantly decrease bad debt and increase upfront and overall collections, while ensuring good patient relations. The numbers speak for themselves:
- On average, facilities implementing nTelagent’s system for all patients saw an increase in upfront collections of approximately $110.00 per registration.
- Depending on the facility’s unique situation and use of the Retail Application, this number can be even more dramatic. For instance, one of nTelagent’s hospital clients saw an average of $186.00 per registration.
- As another specific example, a 120-bed hospital increased cash by $50,000 monthly as a result of the Retail Application. These numbers, combined with the other benefits of nTelagent’s solution, could easily equate to a reduction in overall bad debt of 5% to 10%.
- In the emergency department, the Retail Application has an even more impressive effect on providers’ bottom lines. On average, ED collections increased by 50% per registration for nTelagent clients.
- Due to its compatibility with existing legacy systems, providers can simply bolt-on nTelagent’s integrated platform to existing systems. The average implementation time is only four to six weeks.
- Compared with other solutions, nTelagent’s Retail Application yields a strong (and fast) return on investment for clients. On average, healthcare providers double their upfront collections and reduce the number of non-emergent bad debt patients seen. In addition, providers see a reduction in the volume of returned mail due to bad addresses, and they show $500,000+ for ROI, usually within the first 90 days.
90-Day ROI Potential
nTelagent can provide an attractive return on investment in potentially 90 days after implementation of the Retail Application, depending on the current status of a healthcare provider’s collection pattern. Following are ROI examples:
Mid-Sized Provider
- Hospital with $50 million in net patient revenues
- Uncompensated care provided in the amount of 15% of net patient services revenue ($7.5 million)
- An initial minimum improvement of 5% in uncompensated care expense would generate an additional $375,000 in collections on patient revenue over the next 12 months
- A more realistic improvement of 20% in uncompensated care would generate an additional $1.5 million per year
Large Provider
$500,000,000 Projected Annual Revenue
x 15% Provision of Doubtful Accounts
$75,000,000
- Improvement in Doubtful Accounts of Just 5% = $3,750,000 per Year
- Improvement in Doubtful Accounts of 20% = $15,000,000 per Year
Large Billing/Collections Company
$600,000,000 Projected Annual Revenue (2M registrations x $300 Billion)
x 25% Pure Self-Pay Accounts
$150,000,000 Total Pure Self-Pay
x 8% Collection Rate for Self-Pay
$12,000,000 Self-Pay Collections
$150,000,000 Total Pure Self-Pay
-$12,000,000 Self-Pay Collections
$138,000,000
- Improvement in Self-Pay Collections of Just 5% = $6,900,000 per Year
- Improvement in Doubtful Accounts of 20% = $27,600,000 per Year
Note: nTelagent recommends using the Retail Application on all patients, in order to ensure consistency in practices, compliance with federal regulations for collections and highest return on investment.
