Medical coding is a big part of healthcare. It helps turn patient visits into billing records. But not all healthcare offices do it the same way. Some still use paper medical records, while others have switched to electronic health records, also called EHRs.
So, which one is better for revenue and fewer denied claims? That’s what we’re going to explore today.
This article walks through how paper and electronic systems work. We’ll look at how they affect mistakes, money, and rules.
Regardless if you’re just curious or making choices for your practice, you’ll find helpful info right here!
How Paper and EHR Coding Workflows Differ
Let’s start by breaking down how things work with both systems.
Paper Medical Records Workflow
With paper medical records, everything is done by hand. Doctors and staff write notes on paper charts. Then, a medical coder reads those notes and writes down the correct codes. Those codes are used to bill insurance.
This process can take time. Sometimes handwriting is hard to read. Sometimes papers get lost. And if a coder needs more info, they have to find the correct chart, which might be in a file cabinet across the office.
Here are some things that stand out with paper:
- Slower access to patient info
- More chances of human mistakes
- Easy to misplace or damage documents
- Harder to share records with other providers
EHR (Electronic Health Record) Workflow
With an EHR system, records are stored digitally. Doctors type or use voice tools to enter notes right into the system. Then coders can log in and find everything they need in one place.
This method is faster and more organized. In fact, more than 90% of hospitals in the U.S. now use certified EHR systems because they help streamline care and improve billing accuracy.
EMR systems often flag missing details or suggest codes based on the doctor’s notes. Some can even help with debt tracking or connect with billing software.
Benefits of using an EHR:
- Quick, searchable access to records
- Fewer chances of losing info
- Can help suggest or verify the correct codes
- Easier communication between departments
- Often built to support HIPAA compliance
Many practices that handle behavioral health also look for the best EHR for mental health, since those may include special tools for tracking therapy sessions or medication plans.
Does Technology Really Reduce Coding Errors?
Technology helps—but it’s not perfect.
Technology, like EHRs, can catch some problems before they cause trouble. For example, if a code is missing or doesn’t match the service, the system might warn the user. That can lower the number of coding errors before the claim is sent.
But tech still depends on people. If a doctor enters incorrect information or skips a step, mistakes can still happen. Also, just using an EHR doesn’t mean the staff knows how to use it well. Training still matters a lot.
Studies show that EHRs can reduce common errors compared to paper. But errors can still slip through if users rush or don’t follow the process carefully.
So overall:
- Yes, EHRs can reduce errors
- But people still play a significant role.
- Training and careful review are always necessary.
Which Workflow Drives Better Financial Performance?
Now let’s talk money, because how well your system works can really affect how much your practice earns.
Why Financial Performance Matters
Every clinic or hospital wants to get paid for the care they provide. That happens through medical billing and coding, which turns services into claims sent to insurance. If the workflow is smooth, claims are processed quickly and come back approved. That means money comes in on time.
If the system is slow or messy, payments can get delayed or, worse, denied.
So, which method paper or electronic helps bring in more revenue?
Paper Medical Records: Slower and Riskier
With paper medical records, coders may need to dig through physical files, read unclear handwriting, and track down missing info. All of this takes time.
Also, billing staff might spend extra hours correcting mistakes, faxing info, or calling insurance companies. These delays can add up and slow down payments.
Sometimes claims go out with coding errors because the process didn’t catch them early enough. When that happens, the claim might be denied, and the office has to start over. That’s a hit to both time and money.
EMR Systems: Faster and More Reliable
EMR systems (electronic medical record systems) give coders instant access to patient notes. Most include tools that help check for missing details or common mistakes. Some can even flag discrepancies before the claim goes out.
This kind of workflow usually means:
- Quicker coding and claim filing
- Fewer rejected claims
- More money coming in on time
- Less time spent fixing errors later
If a practice uses a medical billing and coding service near me, that service often prefers electronic records, because they’re easier to access and process.
So, in most cases, EHR workflows lead to stronger financial performance. They help providers code faster, avoid rework, and get paid sooner.
Denial Rates and Root Causes: Where Do Workflows Go Wrong?
Claim denials are frustrating. They delay payment and often mean doing extra work to fix and resend the claim. But the reason for these denials often depends on the workflow behind the scenes.
Common Reasons for Denied Claims
Most denials happen because of simple issues. These include:
- Missing patient info
- Incorrect or outdated codes
- Services not covered by insurance
- Not enough documentation to support the code
These problems can happen in any system—but some setups are more likely to catch them early.
Paper Workflows and Denials
With paper medical records, there are more chances to make mistakes. A doctor might forget to write something down. A coder might misread the handwriting. Or someone might miss a deadline because the chart was in a drawer somewhere.
These small things can lead to big problems, like claims being denied. And fixing a denial takes time. Sometimes it even causes the practice to lose the money entirely.
EHR Workflows and Denials
EMR systems can help spot problems before a claim goes out. For example, if a patient’s insurance has expired, or a code doesn’t match the treatment, the system might send an alert.
These systems don’t stop all mistakes. But they do help reduce the number of denials. And fewer denials usually means faster payments.
Still, users need to stay careful. Even with good tools, it’s easy to rush or miss something. So training and attention to detail remain important no matter what system you use.
Summary of Denial Trends
- Paper vs electronic medical records shows a clear difference: electronic workflows tend to catch issues earlier.
- Fewer coding errors and faster edits help keep denial rates low.
- Paper systems leave more room for missed info and delays.
- EHR systems are better at keeping the billing process smooth and timely.
Conclusion
In the paper vs electronic medical records face-off, EHRs offer speed, accuracy, and better organization. They help reduce mistakes and improve workflow. But paper records still show up in many places, and some providers feel more comfortable with them.
No matter the method, strong processes and smart training are key to keeping revenue high and denial rates low.
Ready to upgrade or fine-tune your system? Medical Data Systems, Inc. d/b/a Medical Revenue Service can help you streamline your medical coding process with confidence. Let’s move forward—together.
FAQs
1. Is switching from paper to EHR expensive?
It can cost money upfront, but it often saves money and time in the long run.
2. Can EHRs track patient billing?
Yes. Many EHRs include debt tracking tools or connect to billing systems.
3. Do paper records follow HIPAA rules?
They can, but it’s harder. EHRs are often built with HIPAA compliance in mind.
4. What’s a good EHR for mental health clinics?
Look for the best EHR for mental health that includes therapy notes, medication logs, and scheduling.
5. Are coders still needed with EHR systems?
Absolutely. EHRs help, but coders still review and ensure accuracy in medical coding.