A couple of weeks ago, we learned some interesting information from practices about how much they spend on mailing statements to past due accounts. 35% of survey participants reported that the all-inclusive cost of a mailed statement to a past due account is more than $1.50.
What makes that figure even more challenging for practices is how often they’re mailing those expensive statements to drive action. Even if a practice is able to keep its per statement costs below that $1.50 figure, the majority of practices aren’t mailing statements only one or even two times. 78% of practices surveyed reported that they will mail a statement to a past due patient at least three times to spur payment. 14% of practices responded that they mail five or more statements to patients, and further still, 1 in 20 practices (5%) will mail more than six statements to a past due account.
That seems crazy!
But without alternative strategies in place to connect with each account, these repeated mailings may be the most cost-efficient way to reach out. It’s arguably less expensive than devoting staff resources to calling each and every account. However, a solution for many practices has come from automating that phone-based outreach. It eliminates the repeated high costs of mailed statements while allowing for a more efficient use of valuable staff time.
How many statements are you willing to mail to your past due accounts? Are there opportunities to rethink how you connect to with those accounts?