Which Medical Billing approach is better, Inhouse Medical Billing or Outsourced Medical Billing? – The Final Show-down!


Welcome to the final day of our debate: In-house vs. Outsourced Medical Billing - which is better?

Practice size guides approach, but efficient billing software is crucial for both.

Let’s start, today our focus shall be on “Stress Management and Transparency”

Mr Napolean

71% of billing errors result from stress and miscommunication among healthcare staff.

I want to avoid such a situation at my Medical Practice. Outsourcing promotes work-life balance for staff, reducing overload and conflicts. This leads to better patient care, satisfaction, and retention, ultimately boosting revenue.

Ms Gretchen

Practitioners feel overworked, but stress has many facets. Think of it this way: your doctors are giving all their undue attention to the patients. Excellent care, but third-party billing inaccuracies lead to high denials. Doctors, even after so much effort, aren’t getting timely reimbursements. The stress this situation causes is far more.

In-house billing keeps teams connected, reducing misunderstandings. The same office and time zone speed up changes, reduce errors and expedite claims. With an in-house team, one can leverage several benefits, such as;

Data Safety

Patient Relationship Management

Transparency in Medical Billing process

Easy communication

Source: (MGMA)

Mr Napolean

Dissatisfied with outsourced billing? Switch companies easily. In-house underperformance means costly hiring and training of a new team.

In-house medical billing teams are expensive to maintain. Outsourcing brings expert help without a long-term commitment.

Competitive market demands quick solutions and growth-oriented teams. Outsourcing leverages the billing company's expertise. It also helped us in preventing staffing issues and cost associated with it.

73% of practices face staffing challenges, leading 76% to outsource due to shortages.

Ms Gretchen

Great software handles billing after building a strong team.

Outsourced billing removes control from staff, potentially impacting patient relationships.

74% of millennials and 27% of Boomers switch providers for better payment, post-care. (Ibid)

Staffing is an issue, yes, but so is patient retention. Balance automation for control and internal teams for empathy and compassion.


This brings us to an end, lets summarize our findings.

Factor in software quality, practice size, and experience when selecting the best approach.

As mentioned in day 2, a third approach might be a winner here.

In-house billing with top Practice Management Software supporting technology and billing best practices.

Find out more about this third approach in our upcoming blog.

AltuMED is a Medical Billing Service and Solution Company that understands the importance of prompt, systematic Medical Billing Performance Analysis. Why not contact us for a complimentary analysis that can help us understand the reason for increase in your AR rate?

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