Minnesota goes electronic on Wednesday with medical billing

Published: 2009-08-05 14:50:50
Author: Jeff Hansel | Post-Bulletin | July 14, 2009

The state of Minnesota will soon turn a corner that no other state has dared face in the same way.

A 2007 law takes effect Wednesday, requiring "electronic billing of all health care claims."

The effort to eliminate paperwork, standardize billing terms and reduce errors will save an estimated $60 million per year, said David Haugen, director for the Minnesota Department of Health's Center for Health Care Purchasing Improvement.

"We think the savings potential has been estimated pretty conservatively," Haugen said Monday.

Mountains of paperwork pass through the nation's health care system daily and, often, no two forms include the same definitions for the words written upon them.

Now, Minnesota has defined a standard set of terms that all health providers, including doctors, dentists, chiropractors and hospitals, must use when billing for a health care claim.

"Each year, more than 55 million medical bills, known as health care claims, from these health care providers are processed in Minnesota, resulting in significant transactions costs -- and opportunities for savings," the Minnesota Department of Health said in a statement.

The changes "may be especially challenging" for small health providers, Haugen said. But most offices have already begun implementing the changes.

"I'm sure it'll save a lot of money and help everybody. Some offices will probably have a little harder time," said Connie Reinhart, office manager at Amethyst Dental Care in Rochester. Her office has already been using the new system and is putting final touches in place. She has already noticed quicker turnaround on claims, both for patients and for the dental office.

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