In this episode, we dive into one of healthcare’s biggest—and often most overlooked—expenses: administration. With over $1 trillion spent annually on billing, payments, scheduling, and other back-office tasks, the need for automation in healthcare has never been clearer.

You’ll learn:

How automation can cut costs by up to 30% and improve cash flow

What real patients prefer: texts over phone calls, online payments over paper checks

How tools like BillFlash’s PayReminders, Mailed Bills, PreBill, and FlexPay are making the payment journey faster, easier, and more patient-friendly

Whether you’re a provider, office manager, or just curious about the systems behind your medical bills, this episode reveals how automation is reshaping healthcare—for the better.

Tune in now and imagine a future where healthcare just…works.

Transcript

Narrator: 00:00

Welcome to the Billing Blueprint Podcast, your go to resource for innovative medical billing solutions. Each episode we explore the latest industry trends and share proven strategies to help your practice streamline operations and get paid faster. Now here are your hosts, Brad and Sarah.

Speaker 1: 00:00
Now here are your hosts, Brad and Sarah.

Speaker 2: 00:21
Welcome to the Deep Dive. Today we're tackling a massive, often unseen part of healthcare, the administration. Behind the scenes, think billing, payments, scheduling. You know, the stuff that has a surprisingly huge impact on both medical practices and ultimately on you.

Speaker 3: 00:40
Absolutely. And when we talk about impact, well, consider this. In the US alone, a staggering $1 trillion every year goes towards these administrative tasks.

Speaker 2: 00:50
A trillion? Wow.

Speaker 3: 00:51
Yeah, That's a full 25% of all healthcare spending. It really makes you wonder, doesn't it, if there's a smarter way?

Speaker 2: 00:57
It certainly does. And I guess that's where automation comes in. Experts estimate that by, you know, really optimizing these workflows, we could potentially save somewhere between 200 and $360 billion annually. That's just a mind blowing amount.

Speaker 3: 01:08
It really is. And underscores the importance of what we're diving into today. Our goal is to understand precisely how automation is reshaping the financial and administrative side of healthcare. We'll be looking at key areas like billing, how payments are handled, appointment scheduling, and even how financing is evolving. We're drawing on insights from Bill Flash to really get into the practical details and see how these changes can well lead to a better experience for everyone involved.

Speaker 2: 01:36
Okay, so let's start with something really fundamental. Getting the bill right and actually getting paid. Now, when you picture how a medical practice handles billing today, what comes to mind? I'm guessing it's probably not all digital and seamless.

Speaker 3: 01:50
You're probably right. Despite all the tech advancements we see everywhere else, a surprising 71% of healthcare providers are still using pretty old school paper based methods for payment collection.

Speaker 2: 02:00
71%. Still, that sounds like it could cause a lot of, well, friction. What kind of issues does that create?

Speaker 3: 02:06
Well, these manual approaches are just much more prone to simple human errors, you know, and those errors can snowball into delays and ultimately miss payments. In fact, some estimates suggest that up to 80% of medical bills might contain some kind of error because of these manual steps.

Speaker 2: 02:22
80%? That's huge.

Speaker 3: 02:24
It is. And on top of that, a significant number, around 30% of patients apparently leave a provider's office without paying anything right then and there.

Speaker 2: 02:32
That really paints a clear picture of the problem. So what's the modern automated approach that's starting to tackle this?

Speaker 3: 02:40
The real game changer here is the use of automated text and email billing reminders. The growth projections for the whole healthcare automation market are massive. We're talking about reaching nearly $100 billion by 2033.

Speaker 2: 02:53
Wow.

Speaker 3: 02:53
That tells you a lot about the momentum here. And already something like 90% of healthcare organizations have adopted some level of automation strategy.

Speaker 2: 03:01
90%. That's a huge adoption rate. So how do these automated reminders actually work? Like, take Bill Flash's pay reminders.

Speaker 3: 03:07
Yeah.

Speaker 2: 03:07
What makes that system work?

Speaker 3: 03:09
Bill Flash's system is designed to be pretty hands off. Once it's set up, the practice essentially only pays for the reminders that actually get sent. The system can be customized to automatically send up to three reminders each month, using both text messages and emails.

Speaker 2: 03:25
Okay.

Speaker 3: 03:25
And what's particularly smart is that once a patient pays the they're automatically taken out of the reminder sequence. So you avoid those awkward reminders for bills you've already paid.

Speaker 2: 03:34
Right? That's happened to me before. It's annoying.

Speaker 3: 03:36
Exactly. Plus, these reminders go out almost instantly.

Speaker 2: 03:39
That sounds way more efficient than waiting for a paper statement, than maybe a phone call weeks later.

Speaker 3: 03:45
Yeah.

Speaker 2: 03:45
Does this kind of system play nicely with the billing software a practice might already have?

Speaker 3: 03:50
Oh, absolutely. These solutions are generally designed to integrate pretty smoothly with existing billing systems. So it's not like ripping everything out and starting over.

Speaker 2: 03:58
Okay.

Speaker 3: 03:59
Now the big question is, do these automated reminders actually make a difference? Do they get bills paid faster?

Speaker 2: 04:07
The evidence points that way, doesn't it?

Speaker 3: 04:08
It does, yeah. A Salukra survey found that a majority of patients, 59%, actually prefer text notifications about their bills over calls or emails.

Speaker 2: 04:17
That makes sense.

Speaker 3: 04:18
And Even more telling, 51% of patients said getting a text reminder prompts them to pay more quickly.

Speaker 2: 04:24
That totally aligns with how most of us use our phones now. A text just grabbed attention much more directly.

Speaker 3: 04:29
Precisely. And think about this. Around 90% of text messages get read within just three minutes.

Speaker 2: 04:36
Three minutes?

Speaker 3: 04:36
Yeah. That's an engagement level that, you know, regular mail just can't touch. Plus, while a big chunk of consumers, 75%, want to pay medical bills online, only about 20% of providers currently offer easy options like keeping a credit card on file I. Automation really steps in to bridge that gap.

Speaker 2: 04:56
Okay, so we've talked about the digital shift with reminders, but what about people like you mentioned who still prefer getting a paper bill in the mail? Is there an automated solution for that, too?

Speaker 3: 05:04
That's a really important point, actually, because even with everything going digital, a 2022 study showed that. Yeah, 39% of patients still prefer that tangible paper bill.

Speaker 2: 05:15
39% is still a lot.

Speaker 3: 05:16
It is. So the challenge becomes how do practices handle that preference efficiently without getting, you know, bogged down in manual processes?

Speaker 2: 05:26
Yeah, because manually printing, stuffing envelopes, dealing with postage, it just sounds incredibly time consuming for the staff.

Speaker 3: 05:34
It absolutely is. Estimates suggest up to 20% of a practice's staff time each week can get eaten up by these manual billing tasks.

Speaker 2: 05:41
20%.

Speaker 3: 05:42
That's valuable time, right? Time that could be spent on patient care. Plus, manual processes for mailed bills have risks. Like outdated addresses, bills getting lost, returned, which just delays payments even more.

Speaker 2: 05:55
Okay, so how does automation help streamline sending out good old fashioned paper bills?

Speaker 3: 05:59
Well, the key benefit is the seamless integration and just effortless processing. Studies like one from McKinsey suggest automating these kinds of operational tasks can cut costs by up to 30%.

Speaker 2: 06:10
30% reduction. Wow.

Speaker 3: 06:11
Yeah. And solutions like Bill Flash, they're designed to work with over a hundred different billing applications to automate that whole mail bill workflow.

Speaker 2: 06:18
Okay, walk me through how that works for a practice using something like Bill.

Speaker 3: 06:22
Flash, it's pretty straightforward, actually. The practice uploads their patient contacts and the billing info. Then through a secure online portal, they can review the bills before they go out. With just a few clicks, they approve them. And from that point, Bill Flash handles the physical stuff. The printing, folding, inserting, applying the right USPS postage and getting the bills mailed out the next business day.

Speaker 2: 06:45
So once the practice hits approve, it's basically off their plate.

Speaker 3: 06:49
Essentially, yes. And these systems often have smart features built in. Like they can use the USPS National Change of Address Service to automatically update addresses.

Speaker 2: 06:58
Oh, that's useful.

Speaker 3: 06:59
Yeah. Reduces return mail significantly. And importantly, the practice stays in control. They review and approve everything. And they can often customize the statements with their logo, specific messages, payment options, that kind of thing.

Speaker 2: 07:12
That makes a lot of sense. Saves time, improves accuracy, keeps it professional. You mentioned something earlier about turning these mail bills into a marketing channel. How does that work?

Speaker 3: 07:22
Right, it's quite clever. I mean, you're already sending something to the patient, right? Why not use that space? Practices can often include inserts like flyers about new services, health reminders, maybe special offers, including a pre address payment coupon and a return envelope. Also makes it super easy for those who do prefer mailing a check. And here's a really smart part. Linking the physical and digital. These systems can put QR codes on the mailed statements.

Speaker 2: 07:48
Oh, like on restaurant menus.

Speaker 3: 07:49
Exactly. Patients scan it with Their phone and it takes them straight to an online payment portal. Often something like paywhoot.com.

Speaker 2: 07:56
That'S a brilliant way to bridge the gap. So even if you like the pay per bill, paying online is still easy if you want. It caters to everyone. I remember you mentioning that statlots prefer mailed bills, but most actually pay online. That QR code is the perfect link.

Speaker 3: 08:11
It really connects the two preferences. Okay, so now let's shift focus a bit. What about situations with ongoing care or patients on payment plans? How does automation help with those recurring payments?

Speaker 2: 08:23
Oh yeah, I can imagine. Manually tracking those must be a huge administrative headache. Probably leads to missed payments, stress for everyone involved.

Speaker 3: 08:31
Absolutely. Financial constraints, sometimes just forgetting or maybe uncertainty about how to make those recurring payments. And it all contributes to overdue accounts. And this is where automated autopay options are incredibly valuable.

Speaker 2: 08:45
Okay, so how do these autopay systems work?

Speaker 3: 08:48
Well, solutions like BillFlash's autopay let patients securely store their payment info. Could be a credit card, bank account details, whatever. Then they authorize automatic monthly payments. It could be for the full balance or a pre agreed payment plan amount. Once a new statement comes out, the system just automatically processes the payment on the set date.

Speaker 2: 09:07
That sounds like it takes almost all the manual effort out for both sides. The patient sets it up once and then it just happens.

Speaker 3: 09:13
Precisely. The patient doesn't have to remember each month. And the practice staff don't have to chase payments or send constant reminders for those plans. For the practice, this means much more predictable, consistent cash flow, which is huge. And for patients, it's just convenient. Less stress about missing a payment, avoiding late fees. It can really improve their overall experience and maybe even boost loyalty. With this handling routine payments, staff can focus more on, well, actual patient care.

Speaker 2: 09:42
That really does sound like a win win. Now let's talk about something that worries a lot of people. The rising cost of healthcare. How can automation help make care more financially accessible?

Speaker 3: 09:52
Yeah, this is a really critical area. The reality is many people are genuinely anxious about unexpected medical bills. And large costs can unfortunately stop people from getting needed care. We've seen data suggesting quite a few consumers would be less hesitant about treatment if options like buy now, pay later were available.

Speaker 2: 10:10
Like a firm or Klarna, but for healthcare.

Speaker 3: 10:12
Sort of, yeah. But a significant portion also say their providers just don't offer these flexible payment arrangements currently.

Speaker 2: 10:19
So there's a clear patient demand for more flexibility. How does automation make offering that easier?

Speaker 3: 10:25
Automation lets providers easily offer and manage a whole range of flexible options. For instance, Bill Flash Flexpay offers structured payment plans. They have a really high approval rate, around 90%, often with zero percent interest for approved patients.

Speaker 2: 10:41
Zero percent interest? That's significant.

Speaker 3: 10:44
It is. And the application process is designed to be quick, simple, and usually doesn't involve a hard credit check. That makes it much more accessible for many people.

Speaker 2: 10:52
That sounds like it could genuinely ease some of the financial burden for a lot of folks.

Speaker 3: 10:56
It absolutely can. And it's not just those structured plans. Automation supports a wider range of payment methods too. Think Apple Pay, Google Pay, debit cards, checks, paying in the office by mail, even over the phone. By offering this variety, practices give patients more control and convenience. The benefits? Well, better access to care because cost isn't as big a barrier. Improved collection rates for the practice because payments are manageable. And overall, just better patient satisfaction and trust.

Speaker 2: 11:24
Okay, so we've hit billing, payments, financing. What about the admin tasks before you even see the doctor? Like booking appointments?

Speaker 3: 11:31
Ah yes, another area just begging for automation. Think about the front office staff constantly on the phone, just booking routine appointments. It's a huge time drain. And interestingly, data shows that most younger patients, especially Millennials and Gen Z, actually prefer booking online or through an app anyway.

Speaker 2: 11:49
That makes total sense. It's easier for patients to do it on their own time. And like you said, it frees up staff for more complex issues.

Speaker 3: 11:55
Exactly. Using online self scheduling tools can dramatically cut down those routine appointment calls. Plus automation can streamline other key pre visit steps like patient intake forms and even pre visit billing solutions like Bill Flash. Pre Bill let practices send patients a secure link, often via text or email through paywoot.com where they can see and pay any expected charges before their appointment.

Speaker 2: 12:19
So it's about setting financial expectations clearly, right from the start.

Speaker 3: 12:22
Precisely. This proactive approach doesn't just boost collections and reduce billing arguments later. It also makes patients happier because the money side is more transparent, predictable and convenient.

Speaker 2: 12:33
Okay, last piece, then the actual moment of payment collection. What are the challenges practices face there?

Speaker 3: 12:39
Well, even with all these digital tools coming online, many practices still rely heavily on traditional payment methods right at the time of service. That can sometimes lead to delays or just be inefficient. We know patients increasingly prefer using online portals to pay bills and even more want a simple payment link sent straight to their phone via text.

Speaker 2: 12:58
That sounds incredibly convenient for the patient. A quick text link beats logging into a portal or calling the office any day.

Speaker 3: 13:05
It really does. By using platforms like paywoot Bill, Flash lets providers send secure client payment links directly via text or email. It makes paying incredibly smooth. They also offer online patient portals and provider portals for easy management and tracking. And sending e bills electronically the same day they're approved can really speed things up too.

Speaker 2: 13:25
So it's all about making it secure and friction free as possible for patients to pay.

Speaker 3: 13:30
Exactly. Automating payment collection leads to faster payments, less admin work for the practice, and frees up staff from handling quite so many in office payments. They can focus more on the patient in front of them. Studies even show a good chunk of people pay within minutes of getting an electronic notification. It just highlights the speed and convenience.

Speaker 2: 13:51
So to wrap it all up, it really sounds like automation is touching well, almost every aspect of healthcare administration, from the initial bill to the final payment, even scheduling the next visit.

Speaker 3: 14:02
That's right, it's streamlining billing, payments, collections, scheduling and offering more flexible financing. It's pretty comprehensive.

Speaker 2: 14:09
And the upsides for medical practices seem more efficiency, better revenue, happier patients. It really sounds like embracing these techs could give them a serious competitive edge.

Speaker 3: 14:19
It absolutely can. And it's crucial to remember these changes aren't just about making the practice run better. They're fundamentally about improving improving the whole healthcare experience for you, the patient.

Speaker 2: 14:29
That brings us to our final thought for you, the listener, think about your own experiences. How could adopting even one of these automation strategies really shift your interactions with healthcare? Imagine a future where those administrative headaches just fade away, leaving more room for a seamless, truly patient focused experience. What other parts of your healthcare journey do you think could use this kind of smart technological help? Definitely something to mull over. Thanks for joining us for this deep dive.

Narrator: 14:56
Thanks for tuning in to the Billing Blueprint podcast.

Thanks for tuning into the Billing Blueprint podcast. For more insights or to dive deeper dive deeper into today's topics. Head over to billflash.com. Don't forget to subscribe and we'll catch you next week with more strategies to keep your practice running smoothly and getting paid faster

Sources:

How Automation in Healthcare Is Changing the Game for Medical Practices