The practice commonly referred to as telehealth and telemedicine completely reinvents the way healthcare is delivered to patients, from virtual consultations to medication deliveries. In 2021 alone, over 35% of patients used some form of telemedicine. While much of that can be attributed to the pandemic, 71.4% of physicians in 2024 reported weekly telehealth usage, up from just 25% in 2018. Millions of people utilize this growing system, but as that system continues to grow, potential complications grow too.
In an ideal world, onboarding patients and processing those millions of payments should be seamless, but that isn’t the case. With the importance of medical privacy and maintaining compliance with HIPAA and other regulations, telehealth billing becomes a minefield of potential pitfalls. If you don’t maintain high standards, the problems could be more severe than just a bad customer review.
Instead of risking regulatory issues or potential lawsuits, providers and clinics alike need to optimize their operations to avoid any friction in billing or payments. And that’s more complicated than flipping a switch or signing up for some basic service.
First, you have to understand why telehealth billing and payments are complicated before you can solve those complications.
Why Telemedicine Billing & Payments Are So Complex
If telehealth payments seem harder than typical payments, it’s not your imagination; it’s a fact.
Healthcare is already rife with regulations and complications, so when it comes to payments and billing in telehealth, those issues increase exponentially. Not every patient and doctor interaction is a simple consultation with a basic copay process. Telehealth can lead to complicated billing systems that require nuance and attention-to-detail.
From federal policies to state regulations, telehealth is under a massive magnifying glass held by regulatory bodies that are quick to fine and even quicker to change their regulations. Don’t pay enough attention, and you find yourself at the other end of a fine or even a hearing, and telehealth billing is subject to more challenges than just navigating regulations.
These are the primary reasons why telehealth billing and payments are so complicated:
Documentation Requirements
Virtual visits live and die by their documentation. Paper trails are an absolute necessity when it comes to medicine, in general, but it’s even more crucial in telehealth. It keeps patients safe and informed, creates continuity for care, and ensures that the right bodies are reimbursed and paid when necessary.
Constantly-Shifting Regulations
In California alone, telehealth regulations are governed by the Medical Board of California, the Board of Behavioral Sciences, the Board of Registered Nursing, the Physician Assistant Board, the Department of Healthcare Services, and at least a dozen other entities and programs. That means regulations are constantly in-flux, with healthcare providers at the mercy of dozens of different regulatory bodies.
Insurer Guidelines
Even after care is delivered, insurers can still create complications for patients. While many are respected healthcare partners, some insurers will take any chance to avoid fully paying for care. That means their own regulations will include steps that need to be followed to ensure a smooth and proper reimbursement process.
Convoluted Reimbursement Policies
Many states have “parity” laws that ensure a telehealth visit is paid out the same as an in-person visit, but not all states have those laws. That means healthcare providers have to pay extremely close attention to all the state laws and regulations that could impact their care and their revenue.
Failure to address any of the above doesn’t just impact the patient experience; it could impact your revenue. If a billing issue stems from your business, it could end up costing revenue and profits.
Thankfully, healthcare providers don’t have to settle for dusty and outdated billing practices, because there are more than a few ways to reduce telehealth payment friction.
How to Reduce Billing & Payment Issues in Telehealth
Telehealth billing is complex, but it isn’t uncontrollable.
Reducing friction means making things simpler and easier to succeed. When it comes to payments and billing, that means doing everything possible to ensure the billing process is as appealing and painless to patients as possible.
The complexity of medical payments is a problem for patient and provider alike. If a process is inconsistent or copays aren’t adequately communicated, it could cause the kind of friction that angers patients and decreases company revenue.
So how do you reduce that friction? Let’s take a look:
1. Standardize Your Practices
Many billing issues can be attributed to nothing more than human error. If your staff doesn’t know the process, patients could be getting inconsistent care and inconsistent billing. Standardize the process and educate your staff to ensure a seamless experience throughout your practice.
2. Minimize Billing Errors
Errors will happen; it’s simply inevitable. But it’s important to recognize that each error is a lesson that needs to be immediately learned. Implement a practice or rule that ensures that all errors are unique and not repeated mistakes.
3. Train Staff for All Potential Outcomes
Every member of your staff is an extension of your company. Without proper education, they could create a minor billing error that could snowball into a huge problem. Instead of relying on their expertise, instruct your staff on every potential billing problem so they can recognize potential problems before they happen.
4. Maintain Thorough Documentation
Patients don’t always remember why or what they’re getting billed for, which is why the more communication, the more clarity they’ll have. Create a system that keeps patients informed and prepared for any billing and payment requirements.
5. Offer Information on Reimbursement Possibilities
Patients admire transparency and honesty. Boost satisfaction and compliance by communicating what health-related costs can be reimbursed and explaining the processes by which that happens. Helping a patient save a few bucks can lead to that patient being a repeat customer.
5. Utilize Optimal Technology Options
Payment options have greatly expanded over the last 10 years, with dozens of different platforms that make billing simpler for all involved. Instead of sticking with archaic systems, offer the kinds of payment options that patients are actually using.
6. Automate Billing Operations
Systems can make errors, just like humans, but automated processes are immediate and simple. Why make additional steps that force staff to personally send communications or bills when you can create an automated system that delivers that information for you?
7. Maintain Clear & Consistent Communication
Healthcare requires crystal clear communication. Patients need to be informed of all relevant information, and that includes payment details. Keeping them apprised of the next steps, solutions, or upcoming payment requirements avoids surprises for them and ensures a seamless process for your practice
8. Find the Right Payment Partner
A payment processor should carry the load, not add to it. Some legacy processors rely on their brand to get customers, meaning their name means more to them than your business. That’s why telehealth companies need a payments partner who prioritizes their operations and their clients at the same time. Unfortunately, that’s not an easy search.
The Right Telehealth Payment Partner Improves Operations & Solves Problems
The wrong payment partner adds friction instead of removing it.
Most legacy payment processors just turn the metaphorical lights on and leave you to take care of the rest. They’ll throw you to the proverbial wolves and be happy to watch you become some insurer’s lunch. Healthcare providers in telehealth need services that are just as modern and structured as the services they offer their patients, or they’ll be vulnerable to reimbursement issues or regulatory problems. That won’t happen with a payments giant that sees your practice as just another card in their rolodex, but it will happen with Luqra.
With years of healthcare and biotech experience, Luqra is practiced and proven to optimize the payment process for any client. That doesn’t just mean an easier experience for your practice or startup; it means increased customer satisfaction that leads to happy and returning patients.
These are just a few of the reasons why telehealth businesses are joining Luqra:
- Dedicated reps that know your business or practice as well as you do
- Over 10 years of healthcare and biotech experience
- Customized setup tailored to your needs and industry
- Compliance guidance with fast-tracked LegitScript certification
- 24/7/365 In-house customer support to monitor any service issues
- Infrastructure that helps clients manage and navigate complex healthcare payments
Whether you’re looking to scale or to optimize existing operations, find a partner who helps streamline your payments instead of adding to the friction.
