December 17, 2008 08:00 ET

SourceMedical, ZirMed Help Clinics Cure Tough Economic Times Through Improved Efficiency

Combined Business/Revenue Cycle Management Solutions Result in Quick Identification of Claims Errors, Faster Payments; One Rehab Clinic Sees Quick Savings of $1,500 per Month

LOUISVILLE, KY and BIRMINGHAM, AL--(Marketwire - December 17, 2008) - Many medical organizations are beginning to feel those familiar symptoms of an economic slowdown: declining revenues, higher receivables, and longer remittance times. Automated systems that streamline processes, increase accuracy, analyze performance and simplify payment procedures, however, can lessen those business maladies and put clinics on the road to a strong, healthy recovery.

Star Physical Therapy, a Franklin, Tennessee-based rehabilitation practice with over 60 outpatient facilities throughout Tennessee, Kentucky and Indiana, has learned the value of automation. By adopting a computerized Practice Management System (PMS) to coordinate scheduling, reporting, coding, billing and collections at all its clinics, Star has significantly lowered its management costs and improved overall profitability.

"We handle billing for all our clinics through a central office. Since adopting an integrated PMS, we've had far better control over our claims submissions, payment capabilities and collections," said Damon Adelgren, director of operations for Star Physical Therapy. "Our electronic payment option alone has resulted in a 50% reduction in the number of statements we issue, saving us over $1,500 per month in printing and mailing costs."

Star Physical Therapy adopted a combined PMS/EDI clearinghouse solution from information solutions provider SourceMedical and revenue cycle management company ZirMed. The two companies work closely together to offer surgical and rehabilitation clinics one of the best end-to-end management platforms in the industry.

SourceMedical offers a range of solutions from its TherapySource PMS for rehab practices to Vision, AdvantX and SurgiSource -- SourceMedical's highly regarded surgery center management software packages. ZirMed's revenue cycle services extend from insurance eligibility verification to claims submissions, patient statements and even credit card processing and online bill pay. Together, the companies' capabilities lower labor costs, reduce clerical errors and improve overall patient satisfaction.

The Surgical and Endoscopic Center of Stephenville, Texas, 100 miles southwest of Dallas, uses ZirMed along with SourceMedical's Vision to manage its 12-physician surgical practice. According to Lucy Salinas, billing specialist, Vision and ZirMed have improved everything from how clinical supplies are managed, to coping with new Medicare procedures.

"Recently our waiver on secondary claim filing expired with Medicare, because we're no longer considered a small clinic. ZirMed's staff walked us through the change, making what could have been a real bottleneck virtually seamless," Salinas said. "ZirMed also has improved our efficiency by quickly explaining claim submission errors, which has really cut down on our accounts receivables backlog."

Adelgren reported that Star Physical Therapy was able to implement a new online bill pay option for its customers without outside help. "It wasn't hard for me to do," he said. "It's been a fantastic tool, enabling our patients to pay continuing charges through their choice of a credit or debit card, as well as through direct transfer from their checking or savings accounts. We can take the information over the phone. In fact, what used to take us five days and up to four people to accomplish by mail, can now be handled in minutes by one person."

Both Star Physical Therapy and the Stephenville Surgical and Endoscopic Center point to the reporting capabilities of SourceMedical and ZirMed as keys to their improved efficiency. "Our business office supervisor uses Vision's Output Reports Manager to analyze our receivables and claims status," stated Salinas.

"I used an Electronic Data Interchange system at another practice before coming to Star. Once I saw how this integrated solution worked, I realized how much it could do to reduce costs and improve our balance sheet," Adelgren said. "Having a command of daily, weekly and monthly information, including the ability to drill down to better understand problems and opportunities, is an incredible plus. There are just so many great tools."

About ZirMed:

Founded in 1999, ZirMed is a nationally recognized leader in delivering revenue cycle management solutions to healthcare providers. ZirMed enables healthcare providers to leverage the power of technology to cure administrative burdens and increase cash flow. ZirMed solutions include eligibility verification, credit/debit card processing, check processing, claims management, coding compliancy and reimbursement management, electronic remittance advice, patient statements, patient e-commerce solutions, provider credentialing, and lock box services. ZirMed solutions are designed to complement provider workflow and to provide innovative, creative and flexible solutions for healthcare's most pressing administrative challenges. For more information about ZirMed, visit

About SourceMedical:

SourceMedical provides outpatient information solutions and services for outpatient ambulatory surgery centers and rehabilitation clinics nationwide. With a nearly 30-year track record and more than 4,100 satisfied customers, SourceMedical is the trusted source for innovative applications, in-depth industry expertise and unsurpassed customer service. The company's unique, end-to-end systems improve operational efficiency and cash flow while enabling healthcare facilities to capture, exchange and analyze data to deliver a higher standard of patient care.

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