1. Pre-Service Financial Clearance:
Having the right conversation with the right patient at the right time

2. New Environmental Paradigm - Define
Agenda
New Environmental Paradigm - Define
Connance surveys and results
Implications to front end staff
How we to address this in a Pre-Service world

3. THE RISE OF THE CONSUMER AS A PAYOR
The shift to high-deductible health plans, both in employer sponsored plans and the Exchanges, has a fundamental impact on net income and cash flow for providers
HSA / HDHP Enrollment* (Covered Lives MM)
Self-Pay % of A/R as % of Total Outstanding A/R
Net Cash Collections ($000) (Per $1MM NPR)
700%
increase
Pure Self-Pay %
decrease
All Other Classes
*Non-Government
Sources: AHIP 2014 January Census; David Wiener, Self-Pay is Here to Stay: And It’s Scary, May 18, 2013
2016 Confidential & Proprietary

4. Why Incentives

5. For Amazon Inc. Gifts Cards!
Health Care Costs
For Amazon Inc. Gifts Cards!
If food costs increased at the same rate as
healthcare costs from …
Source: NHE 1945:2011
Dozen Eggs
Gallon of Milk
Dozen Oranges
$55
$48
$145

6. Market Study

7. Survey Demographics 500 random consumers (recent patients)
95% had health insurance
Of those with insurance
33% identified their coverage as a high-deductible type, up from 24% in Connance’s 2014 Consumer Impact Survey (see Figure 3).
The more than 50% increase in share of high deductible is consistent with the national shift toward high-deductible plan design

8. Business Office Satisfaction
This year’s survey continued to show opportunities to improve the patient billing experience.
33% of respondents gave their business office experience a top score of 5
50% scored their experience 3 or lower (see figure 4).
Looking solely at the 95% who had insurance
35% are Very Satisfied— a bit higher than the overall sample
50% scored their experience a 3 or lower.

9. Net Promoter Score What is the definition of Net Promoter Score?
Gift Card Quiz (Remind me!)

10. Net Promoter Score
Across the sample, the net promotor score for this sample of 500 patients was 17%
Strong correlation between business office satisfaction and Net Promoter Score
Those giving their business office experience a top score of 5 had a hospital net promotor score of 80%
Those giving their business office interactions a score of 1 or 2, the lowest options, had a net promotor score of -63%.

11. Correlation and Impact

12. High Deductible versus Low Deductible
Of the those who identified as having high deductible insurance
49% owed > $500
55% were surprised by the amount they owed
Non-High Deductible plans
11% owed > $500
11% were surprised by the amount they owed

13. Provider Response
What Keeps Healthcare Finance Executives Up at Night?
And What Are They Planning to Do About It?
Based on responses of 93 senior execs to an online survey:

14. Number of Initiatives
Respondents on average selected 14 listed initiatives as among their organizations’ top priorities.
Among the respondents, 49% selected 10 to 15 initiatives from the list.
More than a third selected more than 15 initiatives (see fig. 2).

15. Top Prioities

16. Current Self Assessment

17. WHAT IS REQUIRED TO SUCCEED?
Patient convenience
Personalized, patient-centric experience while improving patient satisfaction $
Hospital Experience
Patient-Hospital Financial Experience
Staff convenience
Effective work queue management
Ability to accelerate and maximize cash collected
2016 Confidential & Proprietary

18. Patient Financial Clearance Patient Stratification & Payment
THE CONNANCE PLATFORM
Improve net income and reduce cost to collect across the revenue cycle
Create a consumer centric financial relationship with patients meeting them exactly where they are in terms of both ability and willingness to pay.
PRE-REGISTRATION
REGISTRATION
CHARGE CAP./CODING
CLAIMS
ACCOUNT RES.
COLLECTIONS
Missing Charges ID
Denial Management
Vendor Management
FRONT END
MIDDLE
BACK END
Patient Financial Clearance
Patient Stratification & Payment
PRE-ADMISSION
ADMISSIONS
SERVICE
DISCHARGE
BILLS RECEIVED
COLLECTION CALLS
2016 Confidential & Proprietary

19. COMPLETE FINANCIAL VIEW OF THE PATIENT
Prioritize the best financial options and modes of communication in every patient
interaction
Provide your staff with a single source of truth of your patient’s financial resources, estimated obligations and ability to pay
Integrated advanced propensity to pay model
Presumptive charity evaluation
Current deductible status
Assessment of financing options
2016 Confidential & Proprietary 19

20. PRIORITIZED AND PERSONALIZED PATIENT OUTREACH
Predictive analytics drive appropriate pre-service patient outreach
Empower your staff with the tools needed to provide guidance to patients in their financial journey and to collect payments earlier with less effort.
Begin MCD/ Charity Application
YES
Charity
Prioritized Financial Pre-Clearance Outreach
Patients highly unlikely to make payment post service:
Call These First
Now, once you have an understand of the patient's financial plan, predictive analytics can identify patients who would benefit most from an outbound call prior to service to review their financing options and secure payment. Not only does it empower your staff with the tools that that we just looked at but it gives patients guidance in their financial journey, as well has helping your facility collect payments earlier and with a lot less effort.
Connance stratifies patients the amount you are likely to collect and how the patient will engage in the process.
For example, we can segment patients who are likely to pay.  Your staff wont need to worry about them.
For those patients that are deemed to be highly unlikely to make payment post service, you'll want to call those first ahead of the service and try to secure payment or establish a payment plan.    
With limited resources hospitals need to focus outreach efforts pre-service; without the staff to do this today, what options do hospitals have?
Benefit of the Connance solution is that the patient’s financial plan then moves through the organization
Patients who may pay but need help working through options:
Call these second
Advanced
Propensity to Pay
Patients who are likely to pay :
Do nothing
2016 Confidential & Proprietary

21. COMPREHENSIVE SOLUTION TO OPTIMIZE PATIENT INTERACTIONS
The right message, to the right patient, at the right time and frequency
Predict expected cash value, payment patterns, a optimal payment plan
Segment-specific workflow sequences maximize return on collection investment
Segment-specific collection methods and frequency for improved patient experience with billing operations
Activity by Segment
“Investment”
Day
Activity
0-10
Electronic Statement
10-20
20-30
Balance Notification
30-40
40-50
Text Message
50-60
60-70
Reminder Message
70-80
Letter
Patient Repayment Behavior
Reluctant Payor
Self-Directed
Expected Cash Value
Low
High
Segment 1
Segment 2
Segment 4
Segment 3
Segment 5
“Wait and Watch”
“Investment”
“Conserve”
Proprietary and Confidential © 2016 Connance, Inc

22. THE IMPORTANCE OF A FINANCIAL PLAN
It all begins with a clear financial plan for the patient
Provide patient’s with a clear plan of their responsibilities and options, to establish their financial expectations and commitment early in the process
Patient financial assessment
Outstanding balances and history
Available patient financial assistance
Proposed payment arrangements
Agreement terms and patient acceptance
Financial plans can be printed for patients and easily accessed in each patient’s online account
2016 Confidential & Proprietary

23. PAYMENT PORTAL: PAYMENT ANYTIME, ANYWHERE
Facility’s Portal
Patient Statement
Reach the Patient Portal
2016 Confidential & Proprietary

24. Your office dashboards Provide complete Oversight
Do you know when patients can pay you upfront and in full?

25. THE NEW PATIENT FINANCIAL EXPERIENCE
Achieve early payments with less work with upfront clarity and payment expectations, flexible payments options, and proactive patient communication
What do I owe?
What payment methods do you accept?
I don’t have that much right now.
What do I owe now?
No information or estimates
Payment methods which may or may not be easy for the patient.
Skip treatment, provider financing, borrow from family, 2nd mortgage or predatory tenders.
Don’t pay or protracted or back and forth calls.
Patient Today
With Connance
Patient Eligibility
Patient Portal
Patient Finance Assistance
Clear information about patient responsibility amount
Personalized payment plan design
Ability to accept:
Credit, debit, checks, HSA and many other payment forms.
Payments via the office, phone, online.
Flexible financing terms for all patients regardless of credit history.
Easy enrollment & active managed
Balanced notification
Communication
Up to date information
Account posting
Provider reporting & administrative functions
Refund management

26. Nick Kuzera Senior Regional Director of Sales
THANK YOU
Nick Kuzera Senior Regional Director of Sales
Connance, Inc.                     M: