Can a medical office turn an insurance company over to collection?

We filed a paper and electronic claim for 11 months before payment from the insurance came. We have a contract with the company, but they are to pay in a reasonable amount of time which they did not. The patient has a contract with us stating he will pay in full within 45 days of service. He did not. He was turned to collections and the ins. co. was angry. What gives?

Asked By: BLESSED - 9/23/2008
Best Answer - Chosen by Asker
If you have a contract with the insurance company, then you should not have turned the patient over to collections... More
Answered By: sarah314 - 9/23/2008
Additional Answers (2)
What gives is two issues. One, 'reasonable' is one of those terms that has absolutely no legal standing whatsoever. It's an objective term that means different things to different people, so you can't enforce it in a court of law. Your office had an obligation to your patient and yourselves to be following up on... More
Answered By: terrywithay1 - 9/23/2008
You apparently have a contractual performance issue with the insurance company. How does your contract define "reasonable time"? Or does it? You should NOT have turned the patient over to collections until YOU resolved your problems with the insurance company.
Answered By: bud68 - 9/24/2008
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