Question

A hospital can reduce cost by a) reducing length of stay, b) reducing bad debt, c) cutting employee benefits, or d) all of the above

Answer 1

Answer(B) reducing bad debt. Hospitals are dealing with low reimbursements shift from inpatient to outpatient care leaving with property and bets that are no longer financially productive there are few ways through which hospital can work on its debt.

Understand the cost of Care Hospital make money taking care of patients so there Debt needs to be clinically proportionate to the types of services they provide if a hospital has surgical needs it will require lot of operating rooms which are expensive to implement and maintain its revenue are and their the hospital can make payment and its likely to default or its bombs make sure the capital structure is appropriate to the model of care needed for the risk profile of the patients of the hospital.

Renegotiate rates with insurers larger more prestigious hospitals and health systems are able to extract much higher reimbursement from private pairs than less prestigious ones even in the same Geographic area volume in revenues convincing health plans to interest rates and then direct patients towards the less expensive Hospital

Manage risk this is something that all hospitals are having to do under the medical care access and chip reauthorization act of 2015 but it is also a good way to reduce cost and knockout your debt. Focusing on high-risk patients to reduce costly inpatient stays can have a rapid return on the bottom line coupling that with Meru networks of high quality low cost positions may increase reference from health plans and enhance reimbursement rates.

Refinance or restructure to cut debt hospitals can also work with capital market organisations to see if there are ways to refinance or restructure to reduce the burden when dealing to finance a capital project hospital needs to determine if that they have enough internal reserves to fund it or if they know to borrow and pay that back if interest rates are low it is advantage to take a debt.

Reduce bad debt to increase the odds of getting paid sum Hospital sir training patients Axis stuff to identify patients who made default on payment and putting it on point of service payment plan some hospitals can also have a set up space to enroll an insured patients

The West property many hospitals are stuck with tons of impatient real estate that is becoming less and less utilised in rest of the table converting some of that into cash monetizing that and then buying or building places where patients are going to start to grow like Ambulatory surgery centres and skilled nursing facilities is going to be quiet salutary.