If you own your own business, you know that there are many “moving pieces” to making sure your business runs smoothly. You need to not only provide quality services to the community, but also advertise, manage your staff, pay your own bills, and pay attention to your accounts receivable. With so much to juggle, you may be considering outsourcing some of your regular tasks. If you provide interpreter services in the workers’ compensation field, there are some advantages and disadvantages to choosing commissioned versus flat fee collections to help you with your accounts receivable.
One major advantage to using commissioned collections is that it frees you up to focus on your business. Many interpreter businesses have large accounts receivable. If you provide interpreter services in the context of workers’ compensation, you likely know that the accounts receivable can pile up quickly, leading you to divide your time between providing your services to clients and trying to collect your invoices. Treatment services are contingent upon many issues such as industrial injury, MPN authorization for treatment, etc. Retaining the services of a commissioned collections professional frees you up to spend more time on your interpreter services. The commissioned collector will only receive a portion (10-30%) of the recovery, so your out of pocket cost is often reduced on Invoices with peripheral legal issues.
One disadvantage can be relinquishing the amount of your expected income. . The commission will reduce your ultimate recovery, so it is best reserved for Invoices where liability may be in question. You likely have worked hard to build your business and allowing someone else to control your income can seem daunting. You may be carrying tens of thousands of accounts receivable, or even more. Giving up direct control over that major piece of your business may not feel like a good idea. Another option, for Medical-Legal and LC 5811 Costs is an Attorney who can shift the cost of recovery back onto the Carrier who initially delayed the payment. Both Rules 10786 (ML) an 10545 (Costs) provide for Attorney fees in the face of unreasonable delay and/or bad faith tactics. The good news is that an Attorney collection service like those provided by George Corson may not cost you anything. There are deadlines in workers’ compensation cases requiring insurance companies to pay you on time. A commissioned collections service will be able to recover the fee for their services from you. The Med-Legal/Costs recovery with an Attorney can potentially make the recovery free for you.
If you have an unacceptable amount of unpaid/underpaid Invoices for AME/QME/Depo/WCAB services, we are ready to help you with your business. Call today for a Free consultation