RCM tip of the day: Use IRS code 501(r) to improve patient financial engagement for all

New requirements set out in Section 501(r) of the IRS Code for non-profit hospitals could serve as a template to engage all patients, not just those eligible for financial help.

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Ann Garnier, COO, CarePayment: Under 501(r), providers must make reasonable efforts to determine whether an individual is eligible for hospital financial assistance before engaging in extraordinary collection actions. With high deductible plans for both employer and exchange plans on the rise — forcing more patients to come up with significant cash when they use health plans — it makes good business sense to develop ways to engage everyone early in the bill-paying process.  

If you would like to share your RCM best practices, please email Carrie Pallardy at cpallardy@beckershealthcare.com to be featured in the “RCM tip of the day” series.

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