Question

Demonstrate how electronic claims such as EDI works during insurance processing in the healthcare system ?

 

Answer 1

Using EDI allows both payers and care providers to send and receive information faster and often at a lower cost.Healthcare EDI utilizes a technology called Electronic Data Interchange(EDI). Through EDI, organizations can transmit data back and forth using standardized formats. Because information is sent electronically, manual errors are virtually eliminated. Data processing becomes more efficientHealth care EDI systems enable secure data transfer between health care providers and payers or insurers.The use of electronic attachments allows only authorized users to access the medical information, thus supporting secure health care data management.EDI transactions happen behind the scenes.Often, care providers use a clearing house to exchange information between their practice and payers such as transactions for verifying eligibility and benefits or checking the status of a claim.These electronic transactions are standard in the healthcare industry and not specific to united healthcare.