What does an Aging Report measure in healthcare billing?

An Aging Report in healthcare billing is specifically designed to measure the outstanding balances in each account. This report categorizes receivables based on the length of time they have been outstanding, typically broken down into intervals such as 30, 60, 90, and 120 days.

By analyzing this report, billing professionals and healthcare providers can gain insights into the efficiency of their billing and collections processes. It enables them to identify which accounts require follow-up, ensuring timely collections and maintaining cash flow. This feature is critical for managing the financial health of a healthcare practice, as it highlights areas where patient accounts may need more stringent collection efforts or where claims may need resubmission due to denials or issues that need to be resolved.

Other options, while they pertain to aspects of healthcare management, do not accurately represent what an Aging Report measures. For example, tracking overdue appointments focuses on patient scheduling rather than financial status, future claims percentages are predictive rather than indicative of current account status, and total revenue generated is a performance metric rather than an assessment of outstanding receivables.