Missouri law requires insurance companies to pay healthcare providers for services they provide in a timely fashion. But a state insurance department survey says the law is not working as well as it could work.
The survey of Missouri hospitals has found more than one-fourth of the claims filed with insurance companies are past due at least 90- days. Seventy percent of the claims filed by northeast healthcare providers have gone at least 90 days without payment. Fifty-five percent of the claims filed by southeast Missouri healthcare providers have not been paid after three months. Only 20 to 22 percent of the claims in Kansas City, Central, and southwest Missouri are at that level. And only 11 percent are unpaid after 90 days in northwest Missouri. “There’s over $150 million dollars over 90 days that could be pushed through the system,” says Insurance Director John Huff.
Huff says the law anticipates payment within 45 days. After that, insurance companies have to pay interest—unless they have suspended processing. He says the situation is especially hard on rural hospitals which show 37 percent of insurance accounts receivables over 90 days.
Huff hopes the legislature clarifies the law, especially clarifying and tightening circumstances under which insurance companies can suspend processing.
Hear Bob Priddy’s story : mp3 timelyva
Bob Priddy interviews Insurance Director John Huff 8:22 mp3 timely10
