Bulk billing plays a vital role in attracting potential patients to your practice. Bulk billing involves external insurance providers like Medicare and Medicaid. These companies are government bodies, meaning that they are funded by tax-payer money. Therefore, offering bulk billing to patients isn’t giving them free services as they have paid for healthcare with their taxes. Healthcare organizations often have specific services covered by bulk billing, including x-rays, general practitioner appointments, and pathology tests. In the case of unusual or complicated services, physicians can charge their patients an additional fee. Patients can reclaim this fee through their insurance provider following payment.
On the other hand, bulk billing can seem disadvantageous for some doctors, and particular services won’t be bulk billed. If a healthcare company bulk bills a patient for a service, they accept the government's payment. Usually, the payment will be between 60-75% of the fee they charged the patient if they privately billed them. The healthcare practice will absorb the tremendous cost, meaning they deliver services not being paid for in full. Despite this payment gap, bulk billing often means healthcare businesses can offer quality care to patients who may not afford an appointment. Today, many healthcare organizations use mixed billing, where some of their services are bulk billed, and others aren’t. It is essential to understand that there is no correct way to manage your billing process, and a lot of your decisions will be based on the services you offer and how big your business is.