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In a recent LinkedIn Live conversation with Prodigal CEO Shantanu Gangal, Tim McCarthy from Annuity Health shared valuable insights into the current state of the healthcare revenue cycle management (RCM) industry. 

Annuity Health, a Chicago-based RCM provider, focuses on two primary services: self-pay early out customer service and insurance follow-up for older, smaller balance accounts. The company prides itself on delivering quality results and maintaining long-standing client relationships.

With the HFMA Annual Conference just around the corner, McCarthy discussed the challenges faced by healthcare providers, the importance of balancing technology and human expertise, and how Annuity Health is uniquely positioned to help clients navigate the evolving RCM landscape.

‍The impact of the pandemic on healthcare financials

McCarthy highlighted the profound impact of the COVID-19 pandemic on healthcare financials. 

"Being in a healthcare company, people are still feeling the effects of the pandemic,” Tim said.  

Dropped volumes and suspended elective procedures significantly affected providers' bottom lines for an extended period of time. As a result, Annuity Health's clients are seeking ways to maximize cash flow while minimizing expenses.

Balancing technology and human expertise

To address business challenges, Annuity Health has developed a proprietary system called Annuity One. This platform is designed specifically for healthcare RCM and incorporates state-of-the-art efficiencies, including Prodigal’s finance-focused AI. 

However, Tim emphasizes that technology alone is not enough. “This business still requires good representatives, good follow-up specialists. In other words, experienced and knowledgeable people are still really critical."

Tim explains that the most effective RCM solutions are those that can leverage technology when appropriate while also utilizing human resources strategically. 

"And so I think what we've done is we have the right balance of when to use technology as opposed to when to use resources. And that strategy that we've kind of developed, unique strategy, really kind of brings those together."

‍Prodigal's role in enhancing efficiency

One example of how Annuity Health is leveraging technology to drive efficiency is through their partnership with Prodigal. 

The key, Tim cautioned, is accuracy. He’s talked to partners who say their solution does something, but the accuracy is only around 70%. Annuity wants that rate to be as close to 100% as possible.

That’s why they have chosen Prodigal ProInsight and ProNotes. “It's very accurate, which is really great, which is the key for us… It's really cut down by almost 30% our overall handling time."

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The importance of customization and collaboration

Because Prodigal’s AI is trained on financial conversations like the ones Annuity has with patients every day, it already understands both the context and the conversation, supporting accurate and complete work.

But Annuity and Prodigal still worked together to refine their automated call notes to fit Annuity’s needs, demonstrating their joint commitment to excellence and customer satisfaction and producing exactly what Annuity needs to serve their customers and patients.

‍The future of RCM

As healthcare providers continue to navigate the challenges of the post-pandemic landscape, the importance of effective RCM solutions has never been greater. By balancing cutting-edge technology with human expertise and focusing on customization and collaboration, Annuity Health is well-positioned to help their clients thrive in this evolving environment.