How Auto Carriers Are Tackling Runaway Medical Billing Inflation in Casualty Claims
Medical billing inflation poses a significant challenge for auto carriers, particularly within casualty claims. This growing issue, driven by a combination of regulatory gaps and the increasing frequency of high-cost procedures, demands effective strategies and innovative solutions to manage costs while ensuring fair compensation.
In our latest PC360 webinar – featuring CEO & Co-Founder of TempusDirect Greg Gaughan, CCC’s Director of Industry Analytics Erik Bahnsen, and CCC Associate Director of Casualty Solutions & Consulting Erin Campbell – our panelists discussed how medical billing inflation is impacting carriers and what they can do about it.
Third-party auto medical billing inflation has significantly outpaced general health care inflation due to lack of regulation, an increasing number of outpatient surgeries, radiology, and evaluation and management (E&M) procedures per injured party, and the growing cost of those procedures. This is compounded by our country's aging population with pre-existing co-morbidities.
The growing number of uninsured or underinsured drivers can complicate claims scenarios in which accident victims must rely on their own insurance or face inadequate compensation.
Download our latest report on auto medical billing inflation and see how it's presenting in 5 major U.S. cities.
Insights for Adjusters
Adjusters need to negotiate the reasonableness of medical specials with providers and attorneys but shouldn't rush.
Adjusters want to be accurate and pay bills correctly, but often lack the necessary training, support, and experience required to negotiate bills effectively, mostly due to increasing turnover and remote/hybrid work, which can create inconsistencies.
Practice makes perfect – negotiating medical bills is a learned skill and carriers that train adjusters in a virtual learning environment will need to prioritize repetition.
Technology Tips
Technology that can capture key accident details earlier in the casualty claim process and automate medical bill review can equip adjusters with crucial information for effective negotiation.
Technical integrations and networks are constantly evolving, making it faster and easier for adjusters to review medical bills.
For those who missed the live session, you can watch the full webinar replay here.
