Bill Sample / December 10, 2018 / Wendy Gamble
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Have you ever taken your car to the shop and said "Gee I dont have money to pay for that new transmission. Can I float you a loan?" or gone to the supermarket and said "Sorry I dont have enough money for this cart full of food. Can I pay you later?" It sounds harsh but veterinarians have businesses to run just like everybody else. And too many with good intentions and big hearts have gotten burned by offering "credit" or "payment plans" to non-paying clients. The result? Its virtually impossible to find a veterinarian willing to offer services today with payment tomorrow. Lets face it quality vet care isnt cheap. Think about it though--would you want it to be? Because if it was cheap--Id be worried. Because it would be your pets health that had to suffer! So how can pet owners save money on their veterinary bills? Pet insurance is one answer but there are many other tips that pet owners simply dont know about it.
This lag time roughly averages across all payers making DAR an effective comparison metric between payers for individual provider but invalidating it across multiple providers. One obvious advantage of DAR metric is its independence of charges. The averaging feature of this metric eliminates sensitivity to specific day or CPT but also hides the behavior shape of the accounts receivable curve. First-Pass Pay (FPP Rate) and Denial Rate FPP is the percentage of claims paid in full the first time upon submission (subject to federal or state timely payment regulations: 15 days for electronic submission and 30 days - for paper). Denial rate is the complementary metric to FPP rate. It counts the percent of claims that require followup and therefore cost more to process.