Medical Billing and Coding Software
Comparing and Choosing the Perfect Package

Learn all about medical billing and coding software. What it is, why it's needed, how to choose the right electronic package for you, and overviews of popular options...

Doctor's offices rely heavily on the speed and efficiency of medical billing software. Handling patient information electronically makes data entry for medical diagnosis and procedure codes easier. Turnaround for the payment of medical claims is also a lot faster.

For those of you considering a career in medical billing and coding, mastering medical billing and coding software is essential for:

• getting a job
• running a medical billing outsourcing business
• billing from home.

Features of medical billing software programs

• Connectivity: A typical medical billing software program runs on a Windows-based operating system with minimal system requirements.

  More comprehensive packages require purchasing modules which provide specialized features that enhance the functionality of the overall program.

  Some of the newer packages are web-based and run on a remote server. This lets you connect 24/7, 365 days a year from any remote location.

• Functionality: A basic medical billing and coding software program allows you to:

  • register and schedule patients
  • enter insurance information
  • enter claims and charges
  • send claims to insurances
  • enter patient and insurance payments.

Other specialized systems are Electronic Medical Records (EMR) or Electronic Health Records (EHR), which are electronic versions of paper charts. These systems require portable computers and terminals in addition to the software itself.

Modern billing software systems are HIPAA compliant and have the most up-to-date security standards in place to accept and store patient information. See HIPAA compliant medical billing software for more information on this.

The best software includes built-in data encryption and security levels to be used by appropriate personnel working in the doctor's office.

Choosing your software

The software that you ultimately choose will depend on the needs of your practice, including:

• daily patient load
• billing and coding
• and the number of doctors.

The biggest thing you need to determine is what modules you need to perform all of your necessary daily functions and how this corresponds to the price of the software.

The number of different modules on your software usually corresponds to the price of the software. For example, if you only purchase a demographics and scheduling software, the price will be much lower than if you purchased software with full practice management functionality.

Furthermore, each software is designed to work on only a specified amount of computers.

For example, if you buy a single-user software, it means that the software will only work on one single computer. If, however, you need the software to function on ten computers, then you will have to pay more for the user-functionality for ten computers.

You also need to factor in the ability of your software to change with your practice, such as:

• How much does it cost to add more modules?
• Can you add new doctors to the system and delete old doctors?
• Can you split into multiple locations?
• If you find that you do not need a module, can you have it removed from your software?

For more on pricing see our article on medical billing software prices.

Also see our list of medical billing software reviews written by our experts, or submit your own!

Examples of medical billing software

We've put together a short list of medical practice management software packages from across the spectrum. This will give you an idea about what types of options you have, and may even help you decide on the right software for you.

• Lytec Medical Billing Software: is a popular medical practice management software, which helps alert you to past-due balances with a specialized alert system, which tracks old patient and insurance balances.


• MPMSoft: This comprehensive software package is Windows-based and HIPAA-compliant. It allows for patient scheduling, billing, and claims processing.


• UB-04 Software is an affordable and reliable form filler software that aims to increase claim filing efficiency.



• Medisoft is a simple, easy to use program, with all the necessary modules to function in a small doctor's office.

  Because of its simplicity and ease of use, it's usually the software that is used in medical billing and coding training programs - many billers and coders are very familiar with it.



• Allscripts Eclipsys is a more advanced program, which has the increased functionality of including patient data into the electronic medical record, including medical history, family history, allergies, and medications.



• Allscripts Mysis is another Allscripts product, which offers a solid, mid-line software, with more functionality than Medisoft, but not as much as Eclipsys.

  Mysis offers everything that a growing practice needs, including multiple doctor scheduling and management programs, advanced reporting systems, and patient account management modules.



• PIMS (Patient Information Management Solutions): PIMS software is a great option for providers that work in large clinics, hospitals, and pharmacies. This is a high functionality software that makes it possible to manage thousands of patient accounts in multiple locations, and includes everything that you need in a medical practice management software.

So which one do you choose?

Choosing the right software can easily become one of the most confusing, time consuming, and stressful things you have ever done. And if you need the software to begin your practice, it can often be a crazy and demanding situation.

Just try to keep in mind the special needs of your practice. Keep a notepad of all the things that you MUST have for your medical billing or practice management software, and a list of things you only WANT, but can live without.

Don't get a package that's too big for you - you'll just be overpaying for something you don't need. On the other hand though, don't get a package that is too small either, because you'll never be happy with what you have.

Ultimately, your software choice should remind you of Goldilocks and the Three Bears. You may have to try a few out, but eventually you'll find the one that's just right.

You may find this short guide to choosing the best medical billing software useful.

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