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Greetings, my friends, members of the network, and all of you. It’s Sam Collins, your coding and billing expert for acupuncture, really, and for you in the profession. I always want to make sure you’re successful, because quite frankly, you’re not. We have a vested interest as a company. The American Acupuncture Council not only does malpractice and all that, but we do continuing education and do services to support you because we’ve learned.
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If you’re not well supported and it’s successful, you don’t need what we’re selling. So we want to make sure that we’re symbiotic. I want to begin starting for next year, getting to be proactive. So let’s go to these slides. Let’s talk about what do we need to do for 2025. And I’m saying it’s going to be proactive 2025.
And the reason I’m indicating that it’s got to be proactive is because too often acupuncturists are simply reactive. Something happened. What we’re going to do as a network director, if you will, I get a lot of information well before often you may see it. So one of the things I would encourage you to do is always be around AAC network to know what’s happening, what’s changing.
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So let’s talk about what’s going to change for next year, but how do we really become proactive to keep our practices successful and the things you want to do with that in mind, what I want you to think, start to think of is for 2025, what is going to be my practice success? How am I defining it? What does that mean?
Is it a certain number of patients I want to help? Is it a certain monetary figure I want to hit? Is it going to be getting to just simply more people? There’s lots of ways to define it. I don’t want it to always be about money, but part of me says that. I’ve learned that you really have to make sure that this is a business.
And you do have to have a business mindset. Certainly you want to care for your patients. That’s primary, but there’s got to be payment for it. My goodness, everyone can treat someone. But what if you’re not getting paid for it? How do you continue doing that? So I want you to think of how do you define your success?
What does that really mean? And when you get there, tell me what you start to realize are some of the barriers if you look at how did I define success last year? Was it going to be for this coming year? What things stopped me from getting there? What are the barriers? What can I do a little bit better?
Because if you are not growing even a little bit, your practice is failing. Because if you grow a little bit, you’re just keeping your head above water. You have to grow just to keep your head above water. Remember economy, 3%, 4%. If we’re saying inflation may be higher, so you’ve got to probably do at least 5 percent better just to be at where you were this past year.
In fact, I’ll say maybe you’re sinking a little bit. So what are these barriers? How are people coming to the office? Is the barrier one that people just are getting to you? Is the barrier because people can’t afford it? There’s all types of things, but you want us to think of how do I. One of the barriers I think often is people are not sure what you do.
So have you created something that people know if they looked at your office, what you actually treat? Too often acupuncturists will go, I do acupuncture. What does that mean to most people? Nothing. Define to them what it means for you. I can help you with headaches or sciatica or anxiety or depression or whatever it is.
Because that barrier is often they’re just not knowing. Of course, a big barrier is always going to be money. www. circlelineartschool. com So we got to start to think of how do I make sure that I create value to what I do. Notice I didn’t say cheaper. Cheaper is not always necessarily the way people choose a doctor.
I’ve never chosen a doctor because it was cheap. I’ve chosen it because I felt there was enough value. If it’s too expensive, of course, no, but be careful. Always follow something I’ve always held true. People buy. what they want and beg for what they need. You’ve got to put yourself in a portion where, yes, they need it, but they want the care.
You’ve got to make sure that you’re creating that type of value. So what is your model? Have we set up a model that where if people are looking online, they can find me? If they’re needing to, what’s my cost? Is there a way of figuring that out? Oh, that’s affordable. That seems reasonable. Are there, pay plans and things I can do?
So start to really lay down that pattern for yourself to say, how do I want to start to make this work for next year? It shouldn’t be by hook or crook. Write some things down because at the end of the day, it really makes a practice successful no matter how you think of it. Even if it isn’t money, it’s about patience.
Helping people. But when they come in, how do they come in? Are they cash patients? There’s three types. Someone pays straight cash. How about a person that gets a discount if they pay cash? Or how about you offer so called prepaid plans? That kind of modern acupuncture style where it’s Multiple visits bought at a cheaper rate.
Realize that’s one of the ways that you can help it more affordable Is by doing that. If you’ve ever attended a continuing education seminar with me, we’ve talked about that. But how about members that are with me one on one? We have a network where, as you’re a member, we can get into it. How does it work for your office?
What’s specific to your state? By example, what if you’re in Montana? We have to have a escrow account. Other states, you may not. Is there any limits? But I think it’s something that we should all explore because always I think a barrier is money. Are there some ways we can help that? I think so. One of the ways and barriers is when people have insurance, let’s face it, do people go to the doctor more often?
Here’s a good thing for all of you to do. You may sit back and say, I don’t want to take any insurance. I agree. I don’t want to take any bad insurance, but I’m not going to turn away insurance that pays me. And I think that’s where you’ve got to start to think differently. Realize and ask your friends.
How many of your friends, how about yourself, have gone to the doctor and pay cash? And then, your answer is no. But then you expect everyone else to do it. Now, I’m not saying there isn’t a part of that, but I want you to realize, when you ask most people if they’ve been to the doctor and used insurance, it’s going to be 99 percent of them saying yes.
So you want to start to think of what some of these are better. Obviously people who have the good, standard, high level insurance with small deductibles, those are great. For But those aren’t common. What about PPOs? That’s the very common one, but here’s one thing to keep in mind. A PPO, do you have to join?
By example, and I’ll give you three. UnitedHealthcare through Optum Health, Cigna through a SH, and Aetna, often used through a SH or sometimes secure, don’t require an acupuncturist to be in network to be paid. You may not be aware, but when you’re out of network on these plans, even though it’s a PPO, oh wait, preferred provider, that means they can still go where they want.
Do you know they get paid more? So before you join something, check to see whether or not it’s exclusive. Non exclusive plans, I won’t join unless somehow it’s much more attractive because can you live off of a 40 visit? Maybe you can’t. What about an HMO? That’s the ones that are strict. They only can go there.
That’s that strong ASH, but is it worth it? My general rule is an insurance has got to pay at least what would be my cash rate. And if it doesn’t, I don’t think it’s worth the work. So if you belong to these, know that, okay, I can make it work because I can be efficient. It’s difficult for acupuncturists though, because unlike a physical therapist or a chiro that can use an assistant, you can’t.
Everything that’s billed you have to do. So all of a sudden now that makes that barrier tougher. So maybe that is one you shy away from. But what about health savings accounts? How many of your patients are even aware they can use their health savings accounts in an acupuncture office? Many aren’t.
And they’re going to go, oh, I didn’t know, because you didn’t tell them. Same would apply with, have you ever thought of, could I treat people in an auto accident? Outside of Florida, you can. These are great patients, they’re hurt, need your help. It pays really well, it pays the real fee schedule. By the way, have you ever thought of working with other providers, like an M.
D.? That you become their pain management person. Do you know they’re looking for you, because what do M. D. ‘s do? They refer. What about auto cases? What about workers comp? In many cases, you can be the primary provider. Have you ever checked into people being aware that they can see you? My goodness, in California, an acupuncturist is considered a physician in the work comp world.
But how about the VA? Have you ever thought could I be part of that? Is it worth it? I think so. It doesn’t cost anything to join and you get well over a hundred dollars a visit. That sounds like a really good patient with no co pays, but have you ever ventured? And even if you belong to the VA, how do people even know you treat the VA?
You see where I’m going with that? Often people go I treat VA patients. How do I know? I drive by your offices that says acupuncture. Are you doing anything on your social media? Any way of marketing? So when someone looks up, I’m hurting and I need to, care for pain and I’m in the VA, does your name pop up?
Is there anything on your site that would direct them there? Remember how Google works. It takes information and scrubs from different sites. And if your site has that information, your name is going to come up. By the way, if you were to Google acupuncture, coding and billing seminars and programs, I’m first.
My company is first. You know why? We don’t pay for it. But we have so much data out there because we want you to be successful. So make sure people are aware. Now, what if you treat Medicaid? I’m not a big fan because it doesn’t pay well in many States pays horrible, but some areas can pay better. So it’s something that’s worth looking into.
There’s some areas in New York, quite good. What about Medicare? And you’re going, oh regular Medicare Part B, still the same thing, chronic low back pain only with MD supervision, so not great. But what about Medicare Advantage policies or plans? Now, I’ve heard some people going, I heard all the plans aren’t going to have that new or the routine acupuncture.
Not true. It’s no longer automatic. You want to start to check. I will tell you what the plans are doing. I can tell you UnitedHealthcare is still going to have routine acupuncture. The only difference. is it’s going to limit it to 30 visits per year. So it will still be available, but you do always want to check.
Does a person have that benefit? So at the end of the day, it’s about patients getting in your office. And what is it? That’s the bottom line. Have you ever thought of if I join ASH, I’m getting 40 a visit. Does it make sense to me? In many instances, it may not because I want you to start to think of what does it cost to treat a patient in your office?
Have you ever actually thought of that? What does it actually cost me? I want you to do this by taking your overhead, all your related costs. By the way, I would include your student loan payments as part of that. I really would. And then you divide that by the average patient visits you get per month.
So let’s say you add up everything your rent, your, cost for gowns, needles, and so on. And that total is 4, 000. And you see about 25 patient visits a week or 100 visits per month. That means you’re getting 40 per visit. So if that were the case, let’s think of that for a second. If I’m treating an ASH patient and it’s one of this 100, you’re making 2 for that visit.
I don’t think that’s worth it. I don’t think you could survive on that. Now, if all of a sudden you go Sam, because I’m seeing ASH patients. I can see 200 patients a month. That drops to 20. Okay. But here’s the difficulty. How do I increase it 200 or double it? Keep it in mind that most acupuncturists are treating most people for 30 minutes, sometimes more.
There’s a limit to how much you can do. So you got to be careful of devaluing your service and falling into the trap of some of these plans by looking at really what you’re getting. Now, if you told me, Hey, Sam, I joined because I get 10 extra patients per month. Which means, Hey, I’m getting, 10 visits.
Maybe that’s going to be about four or 500 extra or more. Okay. I like that. It can’t be the bulk though. It’s got to be a value add, like taking up a spot that wasn’t already filled, but I’m not going to trade a high paying patient for a lower paying patient. So you really got to start to look at doing a fee schedule review.
This is 2025 proactive. When was the last time you made an increase in your rates or for that matter, have you ever looked at. Having your rates make sense. Understanding what is the actual value. What is the cost in my area? What resources do you have to figure out what is in my zip code? This is what I do for my network members.
Members of the American Acupuncture Council network service directly with me. It’s one of the things we do. We do a fee schedule review and we talk about, let’s talk about what’s going on in your zip code. I don’t care what your friends charge. Because they probably don’t know what they’re doing either.
I want to look at real charges. I want to start to look at what we call relative values to understand true fees. Because I find often acupuncturists devalue probably three quarters of the services they bill just getting less money. Because I want you to think of when was the last time an insurance company raised rates they allowed?
ASH has it in years, but what about other plans? I don’t think it’s so much worrying about how much have they raised. Some don’t, and it may stay stagnant for a while. But how many of you are aware that you’re billing below what they allow? I’ve seen this happen. An office bills something for 30.
The plan allows 50. Now, if you call them and say, do you allow 50? They won’t tell you, but there’s ways of figuring that out. But anyway, if you bill 30 and they allow 50, what are they going to pay you? 30. So I’d like you to start to take a look at understanding relative values. Have you ever reviewed your rates based on that?
This is federal government. This is not made up. This is what a service costs based on something else. So what you can do is start to tell me what some one thing cost and i’ll tell you what other things would cost based on the relative price of that one. So by example, this is how you would use relative values.
Let’s say by example, you said, Hey, Sam, I charged 60 for a 9 you know, for a set of acupuncture manual. Great. I’d say that’s fair. Is that very high? No, that’s probably about 170 percent of Medicare, give or take. So needless to say, if I charge 60 for that, what’s going to be my fee for my second set, third set?
Or what about other therapies? And this is where I find a lot of discrepancy. Okay. I’ve seen people charge the same amount for first and second set. Makes no sense. The additional set should be 50%, 15%, or excuse me, 30 percent lower than the primary set. So let’s give this example. If I bill 60 and insurance pays me 60 for the first and the second, you know what this tells me?
I’ve way undervalued the primary. Because if you bill below, they pay it to you. But if you bill above, they’ll reduce. So by example, let’s use this. If I take 60 as my fee. And again, this is if you’re saying, Hey, Sam, I know 60 is fair. It’s what I charge. Good. Let’s base everything on that. The value of a 97810 is 1.
15 relative value. So I take 60 divide by its relative value and it gives me 52. 17. Now this multiplier is what insurances do. And they take that number. And then they multiply it by the RVU of every other code. So by example, to give you a way to look at this, Medicare allows about 33 to 37, depending on your region for this.
So what we’re going to do is take 5217 multiplied by the RVU of the additional set of 0. 85 gives me 44. So notice 60. And then I would round this up, by the way, make it 45. But you’ll notice, oh yeah, Sam, that is about 30 percent different. In fact, it’s exactly 30 percent different. But here’s where I find it’s often the biggest misnomer.
Notice the exam price. Relative value is 1. 15 for 97810. Notice the relative value for 97, or excuse me, 99203, new patient mid level exam, 3. 35. Will we all agree that’s approximately three times the rate? Not quite, but close. So if it’s three times the rate, notice it’s 60 here, 174 here. Notice three times the rate.
I can’t tell you, at an office last week, that was charging 75 for this. That literally meant, yeah, you’re losing 100 when it comes to this. What about things like massage? Massage actually has a higher value than does an additional set. Not by much, but notice the value is 0. 91. So that means massage is 47 compared to the additional set of 44.
Please make your fee schedule make sense. If you’re a network member with me, it’s time to get ahold of me. Let’s do our one on one Zoom. It’s part of your service. Let’s take care of that because you weigh under value. If you’re not a member, it may be time to join and start to go, wow, I’ve really messed this up.
And I find that to be often true. Start to really look at a fee. Now, I’m not going to be against you saying, Sam, I chose this fee for a specific, if you’ve got a reason, of course, but is the reason when that’s bad business. Remember, there’s a time for you to put your business on Shark Tank. Is this really viable?
Here’s an unfortunate statistic for a lot of acupuncturists. Generally, close to 50 percent of acupuncturists within five years of graduation no longer practice. Now, I don’t think it’s for lack of understanding the business of acupuncture as far as how to treat someone, but not how to make a business out of it and create value.
Some people do that really well. My goal for any acupuncturist, by your third or fourth year of practice, you better be making 250, 000. You’re going to go, Oh, that’s not that complicated. If you start to understand where patient values are. So I want you to do these things for 2025. Please take a look at any plan changes of anything that you normally have billed out.
Start looking now. Don’t wait. Start to look now. A lot of things can be done online. What’s changing? As I mentioned, a lot of people said, I heard there’s change to the Part C plans. Please read more. Please make sure, make your patients aware that if the existing plan they have doesn’t have it, there’s probably choices for them to have a new one help them do that.
Realize that time is coming up. December, I believe, 7th is the last day for them to change, so make sure your patients are made aware. What about deductibles for next year? I know Medicare is going up to 254, and you’ll say big deal. But that means other plans may do that, but keep in mind, what about deductibles?
Sometimes deductibles, if the patient has used their insurance in the last three months, That may fall into the next year. What about Assignment of Benefits? Many of you have contacted me saying, Hey Sam, I had an Assignment of Benefits thing came from OptumHealth and TriWest regarding my VA patients.
What is an Assignment of Benefits? I don’t understand. Or they’ll use the term AOB. The Assignment of Benefits is something that you need to have current on file. It’s what directs the insurance company to pay us. It’s block 13 of the 1500 where it says please pay the undersigned provider of services. By doing that, you get the check.
If the patient’s already paid you in full, leave it blank. Why I’m bringing this up is that VA wants a new one every year. So get in the habit, new year starts, patients sign a new form. That way there’s no confusion. They understand, yes, payment’s coming to you. They should, of course, because they’re not paying directly.
But that applies, I think, to other consent forms. I know you may have had the patient sign a consent to treat, but what if it’s two years ago, a year ago, and it’s a new plan of care? Have them sign a new one. Don’t leave any risk there by not having a patient saying I didn’t sign a current one. Have it re signed for the new year.
Same would apply with financial agreements. When the new year comes, make sure people know, here’s what the cost is, here’s how we plan to do it, and here’s what we do. If you want to, we also offer a prepay plan. Or we offer some other type of discount for time of service. It’s not very large, but something that can be there.
Make sure patients are aware because that’s the barrier. What does it cost? How about credit card fees? Have you reviewed that? Look at your credit card fees. They’re often higher than people realize. Now, what can we do about that? It’s part of doing business. However, businesses are allowed. to disclose there’s going to be an additional fee for use of a credit card.
You just have to do it before you do it and tell the patient, if you choose to pay with a credit card, there’s an additional 3, 4, 5, whatever the fee you charge. That fee can’t be based upon the amount of purchase, by the way, but it simply comes down to a credit card transaction fee. I think that makes sense.
And of course, the other thing, please review your fee schedules. I’m going to suggest you may want to do it with an expert like me, but at least do it with some level of semblance of information. Realize in many states, what they’ll do is they look at the Medicare fee schedule, which by the way, will update in early 2025.
By the way, network members get in touch with me. I’ll keep you updated there. And start to look at a percentage of that. Realize that many major health insurances, such as Anthem, use 1. 75 of Medicare. And I will guarantee most of you, you might have one or two services, 1. 75 of Medicare, the rest are probably not.
So keep in mind, often I find for offices, they’re losing 10, 20, maybe 40 a visit by not understanding the value. Now you might say Sam, I belong to this plan and they cut the fee. I get that. But that’s something you signed up for. And that’s what I want you to start to think of in that review. Is it worth it?
Realize the American Acupuncture Council is here to help. This is our website, our phone number. We’re the resource to help you get paid and understand the coding and billing. We do lots of courses for continuing education and network members get those for free. So I’m going to suggest let’s make a good 2025 by having a proactive plan.
I hope to see you all soon. Take care of my friends.