October 29, 2025
"Medical billing" may just seem like a bunch of numbers, but in a healthcare setting, the positions that deal with billing and coding need to practically run the operation under the supervision of a healthcare professional. However, medical billing also involves dealing with a lot of errors. Errors with claims might be denied, or reimbursements may be delayed, or administrative costs and patient frustration may rise. Even a small typo in a patient’s name or an insurance number may cause slowness.
Recognizing the common errors in billing and the ways to address them can save time and money. This article outlines general billing errors and the ways to fix them, so that healthcare practices can improve the efficiency and accuracy of their revenue cycles.
Medical billing errors can be avoided, but wrong patient information remains one of the most common and preventable mistakes. This can include wrong patient names, dates of birth, addresses, or insurance policy numbers. Even simple and small typographic errors can cause a claim to be rejected. Once a claim is rejected and returned, staff need to correct the claim, and that will delay payment and heighten the administrative workload.
Practical Fixes:
In many healthcare settings, patient information is verified at the time of billing during check-out. In this case, check-out becomes a time-consuming process. This is why verification happens at check-in. When a patient arrives for their appointment, confirmation of their information should be standardized. Any small changes to a patient’s information should also be recorded during their visit for an appointment.
Duplicate billing happens when services are submitted multiple times on the same patient, date, or procedure. It may occur due to several employees repeatedly entering the same data, interdepartmental miscommunication, or when services are delivered at multiple sites. Duplicate claims will result in denials and may lead to compliance audits.
Dermatology practices manage different procedures in a single appointment, which can result in duplicate billing. Many clinics rely on outsourcing partners like dermatology billing by MedLife to control and ensure clear communication between clinical and billing teams.
Practical solutions:
Insurance companies require you to submit claims promptly. If you wait too long to submit a claim, even an accurate claim, it is most likely going to be denied. Submitting a claim to an insurance company late varies due to documentation not being completed in a timely manner, employee turnover, and/or inefficient work processes.
Practical fixes:
Submitting claims promptly not only positively impacts cash flow but also improves working relationships with your payers. Guidelines Not Being Followed by the Payer
In each and every insurance company, some specific rules exist regarding the documentation, prior authorizations, bundled services, and the correct use of codes and modifiers. Not following these rules invites administrative burden and the more the service is denied.
Practical fixes:
Changes or special circumstances having to do with the service and how it is billed for is a big deal. Modifiers show this as well as how much a reimbursement should be. Having the incorrect modifier, not having one, or not understanding what the service should be billed by is a big deal. Not having these services billed correctly could cause under-billing, over-billing, or having services billed for that should be denied.
Practical fixes:
Using modifiers correctly avoids issues and ensures claims match the provided services.
Most errors made in medical billing have the potential to be avoided and require a little more attention through consistent processes. Attention to practices like confirming patient details, billing duplication, timely claims submissions, and payer compliance, and accurate modifier usage can deeply minimize delays and denials. Staff should receive ongoing training, and automated processes should be supplemented with auditable methods to keep billing operations smooth and efficient.
Incorrect patient information is by far one of the most frequent yet avoidable errors. Simple typos in a patient's name, address, or insurance policy number can lead to immediate claim denials, delaying your revenue and creating more work for your staff.
To prevent duplicate billing, you should use a claims-tracking system that automatically flags identical claims. It is also helpful to establish clear, distinct responsibilities for your team members to ensure the same service is not entered by multiple people.
If you submit a claim after the payer's deadline, it will almost certainly be denied. This means you will not get paid for the service provided, even if all the information on the claim was perfectly accurate. This directly impacts your cash flow.
Every insurance company has its own set of rules for things like prior authorisations, required documentation, and how services should be bundled. Failing to follow these specific guidelines will result in claim denials, which increases your administrative workload and delays payments.
Improving accuracy involves a multi-step approach. Start by verifying all patient information at every visit. Provide continuous training for your staff on coding and payer rules. Finally, implementing a reliable system, like the solutions offered by Beacon Inside, can help automate checks and reduce human error significantly.
