Cost Savings over IVR

Annual Savings Using Internet Eligibility Verification
versus the Interactive Voice Response (IVR) System

The results of this savings calculator are for comparison purposes only. The savings are a close approximation of actual savings based on the information supplied.

• Enter the number of claims submitted each year,
• Enter the number of providers.
• Enter The minutes per phone call to verify Medicare and commercial patients' eligibility.
• Then click the "Solve" button.

The total annual savings Using AHDS is arrived by deducting the operating costs using the internet from the costs using the phone.

Description	Data Entry
How many claims per year?
How many providers submitting claims?
Average time of verification phone call	minutes
Total annual savings using AHDS

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Assumptions:

1. Average transaction time for AHDS process is 5 seconds from time submit button is clicked to returned response.
2. Based on a Medicare Practice Expense Methodology Study Number 500-2004-00054C from June 2004 - June 2006, the specialty "All Physicians" averaged $56.90 per hour in
   • Clerical payroll  $15.40
   • Office Expense $19.40
   • Supplies Expense $ 7.40
   • Equipment Expense $ 3.20
   • Other Expense $11.20
   For this exercise the average hourly expenses are assumed to be $26.00