Student Health Centers Increase Revenue By Billing Commercial Insurance Plans

With college health centers facing significant increasesit may also impact access to care. The reality is that
in the costs to provide health care services, as wellnot every student enrolls in school with insurance
as decreases in their funding sources, many healthcoverage. Students without coverage either go
center administrators are having to think outside ofwithout care, or must pay out of pocket for medical
the box for ways to extend budgets and maintain acosts that are growing more expensive each year.
high quality of care for their student patients. As aWith the American College Health Association and
result, more college health center directors and theirsome states calling for colleges and universities to
staffs are turning to commercial insurance plans.provide health care coverage to all students, some
Health centers at many public institutions used to getschools are offering a menu of options. For example,
100 percent of their funding from the state, butLepus and her staff at UM-BC have opted to accept
times are changing, said Jennifer Lepus, director ofboth a student health plan and plans from commercial
university health services for the University ofcarriers. "If the goal is for every student to have
Maryland - Baltimore County. The UM-BC studentcoverage, we can achieve that by offering both
health center is one of hundreds nationally that haveoptions," Lepus said. "The school plans are less
struggled with state budget cutbacks. Health centersexpensive for people, but we have found that many
at impacted schools may still receive some fundingyoung people today are covered by their parents'
by offering student health insurance plans, butinsurance plans until they turn 23 years old. That
reimbursements from those plans - which aremeans that a large number of students have
provided by a handful of companies that contractcoverage through private carriers, and it seems logical
with colleges to offer exclusive group ratedthat when they come in to be seen, we can bill
coverage to students - are typically not enough tothose insurance companies." The University of Utah
support a health center budget. "Our difficulty inat Salt Lake City is another example of a health
offering only a group rated insurance program wascenter that has found that billing to commercial
that voluntary enrollment was not enough to sustaininsurance carriers as well as offering a traditional
it," said Western Kentucky University's Healthstudent insurance plan through the university is a
Services Director Libby Greaney. "So, WKU's solutionwin-win for both students and the health center. "By
has been to accept commercial insurance plans, andoffering both options, we have a medium-sized pool
file those claims. WKU began billing insuranceof students who are required to come to us with
companies in 2001, after student health fees weretheir insurance, but we are also affordable and
cut the previous year. "If your doctors areconvenient for students with out of state insurance
board-certified and credentialed, they can establishwho will be paying out-of-network percentages or
themselves as primary care physicians. This enablesdeductibles," said Tiffany Smith, office manager
you to see community patients who are in-networkpatient advocate for the University of Utah at Salt
with the plans that your health center accepts. IfLake City's health center, which attracts about 7,000
balanced properly, you can increase your service netstudents each year. "When we bill commercial
and your revenue streams." According to Greaney,insurance carriers, we make the process easier for
more and more schools are realizing the benefits ofour student patients, and this keeps them coming
opening their health centers up to commercial plans,back to us in the future." And when they come back,
and taking a similar approach to WKU's. "People areit means additional revenue for the health center.
beginning to see the need. They are talking about itAlthough accepting commercial insurance carriers
and addressing it," she said. "Those in college healthmight seem overwhelming, Greaney offers a bit of
who are resistant to the idea may be viewed as 'oldadvice to other health center directors who are
school' if they do not embrace the concept." Moreconsidering it: "Start small, and utilize the resources
and more senior vice presidents at colleges arethat are available to you," she said. "Namely, people
hearing about this approach, and are giving thewho have gone through this either in college health or
directive to their health centers. I would encourageout in the community."
health center staff to be more in the driver's seat.Jennifer McDuffee writes for Nuesoft - a provider of
But Greaney also recognizes a natural conundrum.medical billing software and medical practice
While accepting commercial carriers can open upmanagement software. This article previously
additional revenue streams for college health centers,appeared in Nuesoft Xpress e-Nues.