Pros and Cons to Running Cash Only Practice
With more medical practices switching to a cash-only practice, there is more news surrounding this idea. This idea is not as new as most people would like to believe. The use of a cash medical practice is popular in areas that are known for medical tours. However, since many people want to stay in the United States for treatment, the demand for paying clients has been on the rise. If you are wondering if you should open a cash medical practice, here are the pros and con to this type of practice.
- Make More Money
When you are offering a cash only practice, you can charge the amount that you think your services are worth. This can be a quick option for building cash, as you can charge more than what insurance reimburses you. You can also set discounts for your paying clients who need more than one treatment.
- No More Writing Notes to the Insurance Companies
For many doctors, writing and filing notes with insurance companies can take up a lot of time per week. This could be eating into your free time, or the amount of time you have for your patients. Either way, cash medical practice does not have to file with insurance companies, so you have more time during the day to focus on your patients.
- Patients’ Costs
This is one of the biggest arguments that people have about using a cash medical practice in the United States. Most people have medical insurance that they pay for, and think that they are saving money by using it. The problem is that most people are spending more by using their insurance. However, with more data being released to the public about the real cost of using insurance, we could see a huge change in the future.
- Patients Who Are On Federal Assistance Cannot Use a Cash Medical Practice
Even though alternative types of care have become a popular option for many, those that are on federal assistant are not allowed to use many of these options. The reason they cannot use a cash medical practice is because federal assistance does not cover this care, and they do not have the financial means to pay for the services. You could lower your rates for those who are on federal assistance but depending on their situation, even a lower rate may not allow them to afford the services.
Becoming a cash medical practice has its own pros and cons. If being a cash medical practice is the best option for you will depend on your patients and the type of medical practice that you want to offer.
Learn more about cash medical practice and be sure to check out the free webinar.