Category Archives: HME/DME Trends


What Can I Automate?


More than half of home medical equipment providers are using partners for collections, deliveries, insurance billing and compliance to take advantage of automation and scale to improve their operational efficiency rates.  If you are not asking yourself “What can I automate” on a regular basis, you may be falling behind.

Asses what you do well within your organization and determine where you may not have the expertise or resources to accomplish critical operational functions efficiently.

Bruce explains five questions to ask to ensure you are maximizing your resources.

Outsourcing has become a key business strategy for both small and large businesses.  Why?  Because it allows companies to focus on performing the tasks they do best. You may want to consider what can I automate and outsourcing as you create your budgets and goals for 2020!

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Reprint from HomeCare Magazine, November 2019, Bruce Gehring

Collection Policy, Part 1: 3 Steps to a Stronger Collection Policy


A written collection policy sets the tone for how you extend credit and collect outstanding balances. It should outline the company’s procedures on a variety of topics such as what information to collect from a patient upfront and how to set up a payment plan. Most importantly, you should publish, train to and abide by the rules that the collection policy sets.

You’ll also want to think about how often you will contact a patient who has an outstanding balance and when to write off if it remains unpaid. The policy should follow the collective culture of your organization and define the workflow of who will complete which tasks throughout the process.

1. Observe the “C’s” of Patient Collections: Clear and Compassionate

Treat every patient the same way – and most importantly, provide clear details so your team can focus on their health and well-being. The conversations can be more about details surrounding co-insurance and payment arrangements.

This isn’t to say that collections of these dollars should be ignored – our goal is to urge you to standardize the way you deal with each patient – and publish the rules. Our experience over the years has shown that these types of actions will both increase your internal team’s confidence in collections and the clarity with which patients work with the organization.

2. Understand the way that Patient AR affects Days Sales Outstanding

We all know that collecting ‘more’ equals greater collections, but all HME providers aren’t affected the same way by their policy. You need to evaluate the type of business you do and the effort involved with chasing down patient balances.

Continue reading Collection Policy, Part 1: 3 Steps to a Stronger Collection Policy

Maximizing DME Cash Collections in 2018


High deductibles, larger copays and HSAs have grown A/R portfolios. How do you slow down the growth? Learn the ratios to track and which processes will help you recover your A/R balances faster, reduce your collection costs and improve staff productivity. Join “Maximizing DME Cash Collections in 2018: 5 Ways to Grow Cash and ROI”

You will learn tips on how to:
• Assess your A/R portfolio’s health
• Establish and introduce financial policies to help your company
• Monitor your progress
• Implement a new culture

Register Now

Medtrade17 – Poising for Growth!


medtrade logo

Exhibiting at Medtrade17 is an exciting time, especially when it is your first show in Atlanta. Although I heard the show was smaller than in the past, it is an impressive conference.  The variety of vendors and products gave me a better understanding of how providers help their patients.  By attending some of the sessions, I learned about the impact congress can have on the industry and how competitive bidding has changed the landscape.

Watching the exhibit area, I viewed attendees consulting with experts about industry trends, examining new products, discussing management practices—the list goes on and on.  The owners and managers were in a different mindset.  They are taking a break from their daily responsibilities to focus on their strategic plans. With their SWOT in the back of their mind, they were pondering topics from the growth projections in the HME industry and the continued impact of high deductible health plans to reimbursement cuts to reducing DSO and increasing staff productivity.

The Experts

Although the attendees were in research mode, they may not have realized they are also experts.  They are the best of the best, surviving the volatile environment HME.  These experts led their business through some tough times and now they are poising their companies for growth. They are streamlining workflows, expanding their retail floors, meeting with investors, outsourcing processes and fine-tuning their compliance procedures. They are forging the future of the industry by embracing technology and banding together to make an impact at CMS.

It was invigorating to collaborate with these owners and managers – the forward thinkers of HME– listening to their visions, hearing them describe the solutions they need to grow and brainstorming the new product features to help them reach their goals. They see the light at the end of the tunnel. They want to be ready to take advantage of the new opportunities.  Their enthusiasm is contagious, and I am looking forward to an exciting future in this industry.

Sharon Bock, Marketing Manager

Opportunities Abound at 2017 HME News Business Summit


The 2017 HME News Business Summit prides itself as the premier education event for HME leaders and this year’s Summit certainly lived up to the expectation.   The Summit provided countless chances to better understand the trends in the industry from the HME owners’ point of view.

From the Welcome Gathering on Sunday to the Financial Benchmark Survey on Tuesday, there were a variety of educational opportunities — participating in workshops and panel discussions, listening to industry experts and talking with owners one-on-one. Topics ranged from the Affordable Care Act and Medicare to business models focusing on manufacturer- and customer-based relationships to using automation to reduce costs.

Keynote Learnings

Our keynote speaker, Donald Carroll of Cleveland Clinic, explained how 80% of our healthcare determinants were outside of the US healthcare delivery system.  Our health behaviors (diet, exercise), our social and economic factors (education, income) and our physical environment (quality of air and water) had a greater impact on our health than our access to care and the quality of care we received. Carroll wondered if healthcare expanded into the other areas, could we create a true public health system.

“Population Health,” which is the process of strategically and proactively managing a patient’s care while reducing costs, is a new buzzword in the industry. Can we achieve population health by coordinating the efforts of pharmacies, fitness centers, imaging centers, surgery centers, hospitals and recovery facilities? The end goal would be improving the patient’s experience of care by treating them at home as much as possible.  Carroll proposed that the first step toward Population Health might be shifting reimbursement from a volume-based to a value-based model with the role of the provider receiving payment based on a patient’s outcomes.  By managing the care continuum through all of the patient’s touch points, the provider can provide personalized care that transcends time and physical location which may help control the cost of care long term.

2017 HME New/SRA Financial Benchmarking Survey Learnings

The Summit concluded with its state of the industry presented by Rick Glass of Steven Richards & Associates. The HME industry has changed greatly over the last several years, and is continuing to evolve–we have fewer, but larger players. The reason Glass explained, “Profitability shrank from 12% to 10% and growth slowed marginally over last year, as providers continue to focus on improving efficiency of operations.” He does not see this trend reversing since providers continue to struggle with reduced reimbursements.  Glass shared that of survey responders, 23% of the providers are focusing on efficiency, productivity and reducing costs.

Reflecting on the summary of the industry overview, I was glad to reaffirm that Allegiance Group is part of the solution.  Our signature product, COLLECTPlusTM, can free your staff from the billing and collection process so they can focus on retail sales and other activities to grow your business.

I look forward to next year’s Summit!

Bruce Gehring, SVP Business Development