How a Partnership with IC System Led to Millions of Dollars in Revenue Recovery
“We have a good group of folks that are really good at billing, but not necessarily collecting. That’s where we needed help, and IC System delivered.” - Tom Hess on why Genomind needed IC System’s services.
Genomind had about a 30% collection rate prior to its partnership with IC System. Tom Hess, Senior Vice President and Chief Financial Officer of Genomind, knew they had to do something to get their customers to pay their bills, but he wanted it done in a respectful way.
Hess did some research on collection agencies and even spoke with other agencies, but he didn’t like their cold, impersonal approaches. Then, Hess found IC System’s website. What really resonated? That IC System is family-owned and has been focused on ethical debt collection for over 80 years.
Hess reached out to IC System, and after a quick onboarding process, Genomind was able to submit their past-due accounts for collection activity.
To start their partnership slowly and see what kind of results Genomind could expect, they started with a pilot run in January 2019. Genomind gave IC System three month’s worth of recent unpaid bills, with zero expectations on revenue collections.
The results for the pilot were better than Hess could have imagined. The 30% figure they were used to seeing as their collection rate hit 75%, with zero patient complaints. Hess never thought they’d get that high of a collection rate, so Genomind and IC System’s partnership went into full swing.
Collection Rate Before Partnering with IC System
Accounts Resolved Resulting in Millions of Recovered Revenue
Patient Complaints As a Result of IC System’s Collection Process
IC System was able to help Genomind collect on unpaid bills for the next twelve months, earning Genomind millions of dollars back.
“We thought, hey, if 30 to 40% of the people paid us, that was a success,” said Hess. But IC System resolved more accounts than Genomind expected: “We thought maybe we’d get to 50-60%. But, it hit 75, then we got to 80%. In some of the months we got to 85%.”
Hess and the team at IC System both attribute a lot of the success to their strong foundation and equal partnership. Theirs wasn’t just a client/customer relationship. Hess says IC System came to feel like an extension of the Geomind business.
After a year of working together, COVID-19 hit, and Hess was concerned their success rate would go down. Surprisingly, IC System was able to continue collecting unpaid bills for Geomind through positive and respectful relationships with patients.
Today, Genomind’s collection rate is better than ever. Hess says he raves to other CFOs about IC System, and Genomind and IC System continue to enjoy a positive relationship.