Benefits of Electronic Data Interchange (EDI) in the health care industry:

  • The elimination of data re-entry, resulting in reduced errors in claims data
  • Faster submission of claims, producing quicker payments and reducing days in accounts receivable
  • The elimination of paperwork through the exchange of information via computers
  • A reduction in the amount of time spent doing manual tasks, increasing staff productivity
  • Cost savings from $0.50 – $1.25 per claim

EDI Benefit: Beneficiaries
Better Receivables Matching Accounts Receivable
Advance Knowledge of Payment Accounts Receivable
Improved Productivity Accounts Receivable, Accounts Payable, Treasurer / Cash Manager
Reduced Clerical Handling Costs Accounts Receivable, Accounts Payable, Treasurer / Cash Manager
Fewer Customer / Vendor Disputes Accounts Receivable, Accounts Payable
Fewer Late Payments Accounts Receivable, Accounts Payable, Treasurer / Cash Manager
Better Disbursement Control Accounts Payable
Reduced Check-related Changes

Accounts Receivable, Accounts Payable
Forecasting of Cash Flow Treasurer / Cash Manager
Better Investment / Borrowing Information Treasurer / Cash Manager

 

This page last updated 08/06/2002