Q&A
Impact of delayed insurance payments on hospitals
2:29:09
·
59 sec
Council Member Narcisse asks about the issue of delayed insurance payments. Chatodd Floyd explains the challenges hospitals face due to insurance denials and delayed payments.
- Hospitals face numerous denials for care and payments from insurance companies
- Facilities can usually recoup about 80% of denied funds, but the process is time-consuming and costly
- Delayed payments, which can last 6-12 months or more, significantly impact smaller and safety net hospitals
- These delays can lead to reductions in services and staffing
Mercedes Narcisse
2:29:09
Tell me about delayed insurance payment.
2:29:12
I I know how delayed it can be, especially when you come to some of our state insurances.
Chatodd Floyd
2:29:21
Yeah.
2:29:21
Exactly.
2:29:21
So, you know, insurance, both for consumers, as well as for our individual facilities, were sort of the victim of a lot of denials in terms of you know, for care.
2:29:32
And also these denials and payments, what we see is when we have to spend the money to fight and reapply that we're able to recoup about 80% of those funds.
2:29:42
But what that means for smaller facilities, particularly for our safety nets, where they're already operating on the margins is those delays which can last half a year or year or more really impact services and can easily impact staffing.
2:29:56
And so facilities are sort of left with the choice to unfortunately have to either make reductions in those areas, whether employment are in those services, in large part due to these sort of lacking payments.
