The Future of Medical Billing


Electronic medical billing software is used in many doctors’ offices, clinics, hospitals and other healthcare facilities. It helps to streamline the process of creating and issuing bills to insurance companies and can save facilities both time and money.

There are several different medical IT companies which now compete to produce and sell electronic medical billing software. Electronic medical billing is useful in several ways. It reduces paperwork for a healthcare facility which means that there is less space required to process and store papers and documents.

It also provides an electronic database which simplifies the billing codes for certain procedures. Sending bills electronically eliminate the time delay in using snail mail and saves on the cost of stamps. HIPAA is another reason that electronic medical billing software is taking off.

Many medical bills required to comply with HIPAA have to be sent electronically. The software is used to automate the process of billing and determining eligibility for services which reduces the number of people aware of the private contents of a person’s medical file.

Electronic medical billing software simplifies the work that a doctor or administrative assistant has to do. A person can simply look up procedure, either by title or (in some cases) by ICD-9-CM or ICD-10-CM number and the software automatically generates an appropriate bill.

The bill is then sent electronically to the insurance company responsible for payment. Once the insurance company or another institute responsible for paying the bill receives it, they can send back information on which parts of the bill they will be paying.


Insurance companies commonly pay only part of the cost of procedures and patients are responsible for other expenses. Once the healthcare facility knows which costs are approved, they can bill the patient for the remainder of the charges.

All medical records are subject to laws of privacy. Professional electronic medical billing software makes it easy to restrict information on certain bills but displays it in others. Full compliance with HIPAA is a high priority for the companies who make electronic medical billing software because they know that their products will only be used if they meet the facility’s needs.

Most healthcare facilities which process claims that are regulated under HIPAA will require some electronic medical billing software. These services include doctors’ offices, clinics, physical therapy centers, surgery centers and more. Software programs also help to streamline the process of billing insurance companies which is why most healthcare facilities use them for almost all transactions.

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