Deck 20: Billing and Collections

Question 1

How can the medical assistant help prevent collection problems?

A) Mandate all payments at time of service.
B) Make payment arrangements before the patient is allowed to see physician.
C) Inform the patient of the payment policy at the first visit or call.
D) Insist upon credit card payment.

Answer 1

Inform the patient of the payment policy at the first visit or call.

Question 2

Which of the following best describes a monthly billing system?

A) Patients are billed monthly in alternating cycles.
B) All bills are completed in a few days and mailed.
C) Accounts are divided into groups and billed monthly, but in different weeks.
D) Accounts are divided up alphabetically and mailed on the 15th of the month

Answer 2

All bills are completed in a few days and mailed.

Question 3

Which of the following is NOT a common problem affecting collections?

A) Estates
B) Bankruptcies
C) Skips
D) Divorces

Answer 3

Divorces

Question 4

Which of the following is NOT a service offered by collection agencies?

A) Provide intercept letters.
B) Provide credit ratings to providers' offices.
C) Trace patient accounts who are "skips."
D) Obtain funds from bankruptcy accounts.

Question 5

What is the minimum ratio for collection of fees at the time of service recommended by management consultants?

A) 85 percent
B) 90 percent
C) 95 percent
D) 80 percent

Question 6

Which of the following is NOT a legal or ethical guideline governing collection calls?

A) Callers must identify themselves.
B) Callers may not threaten persons.
C) Callers must talk to the person responsible for the debt.
D) Callers must disclose the finance charge imposed.

Question 7

Which of the following must the collection of fees be directed to when a patient dies?

A) Executor of the estate
B) Small claims court
C) Probate court
D) Deceased's insurance carrier

Question 8

Which of the following best describes when collection letters are sent after no payment?

A) After Appointment
B) After first statement mailed
C) After 60 days
D) After appointment

Question 9

Which of the following must be documented in writing when there is an agreement between the provider and the patient to pay in more than four installments?

A) All of the charges
B) Basic medical charges
C) Finance charges
D) Taxation charges

Question 10

Which collection technique is used as a last resort in the collection of unpaid balances?

A) Payment at the time of service
B) Stickers on billing statements
C) Telephone call reminders
D) Sending to collection agency

Question 11

Billing that occurs by dividing up all accounts alphabetically into groups and then sending them out at different times is known as what?

A) Monthly billing
B) Alphabetical billing
C) Cycle billing
D) Group billing

Question 12

Which of the following is the correct order in the billing process?1. Telephone call reminding patient of overdue account2. Itemized statement with overdue notice mailed3. Letter stating amount past due 3 months4. Prepare financial schedule5. Letter stating account has been turned over to a collection agency

A) 1, 2, 3, 4, 5
B) 2, 4, 1, 3, 5
C) 4, 2, 1, 3, 5
D) 2, 1, 4, 3, 5

Question 13

Which of the following is used to gauge the effectiveness of the ambulatory care setting's billing practices?

A) Collections ratio
B) Accounts receivable ratio
C) Desirable ratio
D) Delinquent accounts ratio

Question 14

Which of the following questions would NOT be helpful in developing a credit and collection policy?

A) What kind of payment arrangements can be made if the patient does not pay at the time of service?
B) How would a reminder initially be managed: by telephone, by a note on the statement, or by letter?
C) At what point will a patient's bill be considered delinquent?
D) What is the most convenient time of the month for patients to make a payment?

Question 15

Which of the following best describes accounts that occasionally go to an outside collection agency?

A) Accounts with a high accounts receivable ratio
B) Patients who do not pay in 30 days
C) Highly delinquent accounts
D) Accounts that have sent bad checks

Question 16

Which of the following measures the speed with which outstanding accounts are paid?

A) Collections ratio
B) Accounts receivable ratio
C) Desirable ratio
D) Delinquent accounts ratio

Question 17

Which of the following must collect the money from the patient if the medical office pursues payment through small claims court?

A) Court
B) Insurance company
C) Clinic
D) Court appointment collection agency

Question 18

When can statements no longer be sent or any attempt be made to collect a delinquent account?

A) When the patient dies
B) When the patient declares bankruptcy
C) When the patient skips or moves with no forwarding address
D) When the patient loses in small claims court

Question 19

When collecting a payment from the patient,what is considered the best time?

A) Within 2 weeks
B) At the time of service
C) Prior to the patient's being seen
D) When convenient for the patient

Question 20

Which of the following is a recommended method used to figure the accounts receivable ratio?

A) Divide the current accounts receivable balance by the average monthly accounts payable.
B) Divide the current accounts receivable balance by the average monthly gross charges.
C) Divide the current accounts receivable balance by the average weekly charges.
D) Divide the current accounts receivable balance by the average daily gross charges.

Question 21

Collection calls to patients with overdue accounts are more likely to be answered during what time frame?

A) 5:00-8:00
B) 5:00-8:00 p.m.
C) 12:00-1:00 p.m.
D) 8:00-10:00 a.m.

Question 22

MATCHING
Match the appropriate description with the federal regulation.

Fair Debt Collection Practices Act

A)legal guidelines governing telephone collections
B)shows installment payments and interest agreements
C)bankruptcy laws

Question 23

What is known as a method of identifying how long an account has been overdue?

A) Account aging
B) Account identifying
C) Overdue aging
D) Overdue identifying

Question 24

MATCHING
Match the appropriate description with the federal regulation.

Federal Wage Garnishment Law

A)legal guidelines governing telephone collections
B)shows installment payments and interest agreements
C)bankruptcy laws

Question 25

MATCHING
Match the appropriate description with the federal regulation.

Consumer Credit Protection Act

A)legal guidelines governing telephone collections
B)shows installment payments and interest agreements
C)bankruptcy laws

Question 26

MATCHING
Match the appropriate description with the federal regulation.

Truth in Lending Act

A)legal guidelines governing telephone collections
B)shows installment payments and interest agreements
C)bankruptcy laws