the patient receives an eob, which is a report that details the results of processing a claim.

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Understanding health insurance: Chapter 1 Flashcards

25 hours ago  · An explanation of benefits (EOB) is a document that a health plan sends to a member after a medical claim is processed. The EOB will show a variety of information, including details about the medical treatment, the amount that was billed, the amount that the health plan allows for that service, the amount the health plan paid (if any), and the amount that the patient … >> Go To The Portal


An explanation of benefits (EOB) statement provides details about a health insurance claim that has been processed. Definition and Examples of an Explanation of Benefits An explanation of benefits statement is sent to you after a health insurance claim.

The patient receives a remittance advice, which is a report that details the results of processing a claim. The correct answer is the patient receives an explanation of benefits (EOB). The claims review process requires verification of the claim for completeness and accuracy.

Full Answer

What is an EOB in medical billing?

An EOB is a statement from your insurer. It outlines which portion of a claim it has paid and what portion you will have to pay. You should get an EOB any time your health care provider bills your insurance. Always take a close look at an EOB to be sure the charges are correct.

Why am I not getting an EOB from my doctor?

If you are a member of a health maintenance organization (HMO) that pays your doctor through capitation (a set amount of money each month to care for you), you may not receive an EOB because your doctor is not billing the insurance company.

When should I get an EOB for health insurance?

You should get an EOB any time your health care provider bills your insurance. Always take a close look at an EOB to be sure the charges are correct. Compare EOBs to the bills you receive from providers and reconcile them before you make a payment.

What is an example of an EOB?

An example of an EOB: Frank F. is a 67-year-old man with type 2 diabetes and high blood pressure. He is enrolled in a Medicare Advantage Plan and sees his doctor every three months for a follow-up of his diabetes. Six weeks after his last visit, Frank received an EOB with the following information:  

What is a EOB statement?

An EOB is a statement from your health insurance plan describing what costs it will cover for medical care or products you've received. The EOB is generated when your provider submits a claim for the services you received. The insurance company sends you EOBs to help make clear: The cost of the care you received.

What is included in an EOB?

An EOB typically describes: the payee, the payer and the patient. the service performed—the date of the service, the description and/or insurer's code for the service, the name of the person or place that provided the service, and the name of the patient.

What is the first step in processing a claim?

Your insurance claim, step-by-stepConnect with your broker. Your broker is your primary contact when it comes to your insurance policy – they should understand your situation and how to proceed. ... Claim investigation begins. ... Your policy is reviewed. ... Damage evaluation is conducted. ... Payment is arranged.

How do you read an EOB in medical billing?

How to read your EOBProvider—The name of the doctor or specialist who provided the service.Service/Procedure—The type of service you received.Total Cost—The amount we pay for the service. ... Not Covered—The amount of the service not covered (this usually only occurs if the service is denied).More items...•

What is an Explanation of Benefits EOB quizlet?

Explanation of Benefits (EOB) insurance report that is sent with claim payments explaining the reimbursement of the insurance carrier. Adjudicated. How a decision was made regarding the payment of an insurance claim.

What is EOB US healthcare?

Insurance Term - Explanation of Benefits (EOB) A document sent to an insured when the insurance company handles a claim. The document explains how reimbursement was made or why the claim was not paid, as well as any additional information if required for satisfying the customers.

What are the steps in processing a claim?

What happens to a claim after it gets submitted?Step 1: Submission. ... Step 2: Initial review. ... Step 3: Eligibility. ... Step 4: Network. ... Step 5: Repricing. ... Step 6: Benefits adjudication. ... Step 7: Medical necessity review. ... Step 8: Risk review.More items...•

What is claim processing?

1. The process of obtaining all the information necessary to determine the appropriate amount to pay on a given claim. Process of determining an insurance company's liability for each claim.

How does claims processing work?

How Does Claims Processing Work? After your visit, either your doctor sends a bill to your insurance company for any charges you didn't pay at the visit or you submit a claim for the services you received. A claims processor will check it for completeness, accuracy and whether the service is covered under your plan.

What is Medicare EOB?

Each month you fill a prescription, your Medicare Prescription Drug Plan mails you an "Explanation of Benefits" (EOB). This notice gives you a summary of your prescription drug claims and costs.

What part of the EOB identifies which procedure was not received by the client?

What part of the EOB identifies which procedure was not received by the client? Patrick can identify the procedures not received by the client on the EOB by viewing the description of service and CPT code listed.

What is EOB in medical billing?

Your EOB is a window into your medical billing history. Review it carefully to make sure you actually received the service being billed, that the amount your doctor received and your share are correct, and that your diagnosis and procedure are correctly listed and coded.

What is EOB in healthcare?

Updated on July 19, 2020. An explanation of benefits (EOB) is a form or document provided to you by your insurance company after you had a healthcare service for which a claim was submitted to your insurance plan. Your EOB gives you information about how an insurance claim from a health provider (such as a doctor or hospital) ...

What is EOB information?

Your EOB has a lot of useful information that may help you track your healthcare expenditures and serve as a reminder of the medical services you received during the past several years.

What is billed charge?

Charge (Also Known as Billed Charges): The amount your provider billed your insurance company for the service. Not Covered Amount: The amount of money that your insurance company did not pay your provider. Next to this amount you may see a code that gives the reason the doctor was not paid a certain amount.

What is a provider?

Provider: The name of the provider who performed the services for you or your dependent. This may be the name of a doctor, a laboratory, a hospital, or other healthcare providers. Type of Service: A code and a brief description of the health-related service you received from the provider.

What is paper claim?

Paper claims and any paper attachments are date-stamped and entered into the payer's computer system, either by data-entry personnel or by the use of a scanning system. Initial processing might find such problems as the following: (1) the patient's name, plan identification number, or place of service code is wrong;

Why is a procedure code downcoded?

Downcoding may occur because the procedure's place of service is an emergency department, but the patient's problem is not considered an emergency. Claims may also be downcoded because the documentation fails to support the level of service claimed.

What is the CARC code?

code used on an RA to indicate the general type of reason code for an adjustment. claim adjustment reason code (CARC) code used on an RA to explain why a payment does not match the amount billed. remittance advice remark code (RARC) code that explains payers' payment decisions.

What is an EOB statement?

Key Takeways. An EOB is a statement from your insurer. It outlines which portion of a claim it has paid and what portion you will have to pay. You should get an EOB any time your health care provider bills your insurance. Always take a close look at an EOB to be sure the charges are correct.

How does an EOB work?

How an Explanation of Benefits Works. An EOB can help you avoid paying more than you should for health care. Look over an EOB when it arrives in the mail ; then, compare it to your bills to ensure that you pay the correct amount. If you find an error on a bill from a doctor or other provider, call your insurance company to address the error.

What is an explanation of benefits statement?

An explanation of benefits statement is sent to you after a health insurance claim, to lay out the details of the service, the charges from the provider, the amount covered by insurance, and how much money is still due. Each time they provide services to you, doctors, dentists, and other medical professionals will submit claims to your insurance.

What is EOB insurance?

In turn, the insurance company will send you an EOB. This is to inform you of the claims submitted, how much is being covered by insurance, and how much you owe. 1.

What is a summary of your account?

A summary of your account with important identifying information and claim number. The details of the claim, including the date and specific services provided. The accounting, which includes the price of the service, the amount that your insurance is covering, and the difference between the two ...