Rethinking Revenue: Ryne Natzke on the Cloud, Consumerism, and the Future of Patient Payments

A cloud-based payment system has a lot of the same benefits as other cloud-based systems that are used across an organization. Software is not needed to be installed locally on the workstation and the credit card devices are connected to the internet, meaning they can be more easily monitored and upgraded.

Not having local software is especially important if the system it is integrated with, such as an EHR, practice management system, or billing system is in the cloud as well. This allows the two systems to seamlessly talk to one another without worrying about where the software is installed. Additionally, many large organizations use virtual desktop environments which can introduce third-party dependencies when trying to connect to a local port on the workstation.

Overall, a cloud-based patient payment system makes implementation and support much easier, with large organizations seeing the biggest benefit.

Healthcare is generally not a planned or budgeted expense for patients, so offering flexible payment options can increase collections and can decrease the financial burden for the patient.

Being flexible can mean a few different things. It could mean accepting multiple payment methods like credit cards, debt cards, ACH, and digital wallets like Apple Pay, Google Pay, Venmo, and Paypal. It can also mean offering payment plans to allow a patient to pay over time.

Additionally, the payment is often the last touchpoint for a patient encounter. If the last experience that a patient has with your organization is a bill that is larger than expected with limited options to pay and net 30 terms, it can leave a bad taste in the patient’s mouth.

Providing a seamless patient experience means allowing for payment within the same workflows as other tasks. Each step in the patient experience doesn’t happen in a vacuum, so if payments can be incorporated into the same systems they are using for confirming an appointment, checking in, checking out, scheduling appointments, viewing their lab results, etc., the experience is more continuous.

Storing a card on file is a great example of providing an integrated payment experience. Allowing a patient to select a card on file with a single click instead of pulling out the credit card and keying in a 16-digit number plus expiration is a much more seamless experience.

Making a payment isn’t generally seen as the most exciting part of any consumer or patient experience, but the overall experience can be improved when payments are integrated into general workflows with as little friction as possible.

The healthcare financial landscape has changed significantly since the days when the majority of payments were made by checks sent in the mail or by calling a contact center to share credit card information. Having a patient’s preferred payment method on file as a secure token is a great example of how using digital payments can allow for a more seamless payment experience.

Digital wallets are also increasingly popular, especially with younger people. Consumer preferences are evolving to include payments from a phone or watch or digital payment platforms like Paypal or Venmo. Providers can reduce friction by making sure they can accept patients’ preferred payment methods.

We expect the adoption of digital wallets to continue to increase, particularly among young people. Providers need to be ready to accept these payment methods as the popularity of digital wallets grows.

The push for price transparency will also shift the payment upstream in the patient journey. Instead of waiting to pay after the visit – potentially weeks or months later when the claim is adjudicated, and the final balance is known – it will become more common to pay a down payment based on an estimate for planned care. This also allows for an up-front conversation before the visit or procedure to discuss flexible payment options, such as a payment plan.

Healthcare isn’t generally known for its quick adoption of the latest consumer technology. However, with non-traditional players entering the market with direct-to-consumer models, traditional healthcare providers must evaluate their entire patient experience, including how they collect patient payments, and provide comparable offerings that meet patients’ demands and expectations.