New pricing model stops the surprise fees and confusing contracts that many medical practices face today.
RICHARDSON, TX: Paymedics, a physician-owned medical billing firm based in Richardson, has moved its core service model to a flat rate of 2.99% of monthly collections. The decision follows growing feedback from healthcare providers regarding the lack of clarity and the presence of add-on fees commonly found in traditional billing contracts.
In the current medical billing market, service costs generally range from 4% to 8% of collections. While many companies promote low introductory rates, these often function as base prices that exclude the essential labor required to secure payment. Providers frequently encounter extra charges for standard tasks such as insurance denial follow-ups, secondary claims processing, or generating patient statements.
Paymedics is moving away from this tiered approach by implementing a single percentage that covers the full billing cycle. This change is intended to eliminate the surprise surcharges that often complicate a practice’s monthly financial planning. By offering a straightforward rate, the company aims to provide a predictable framework that matches a practice’s actual revenue without hidden administrative penalties.
We’ve heard from many practice managers who feel caught in contracts where a low advertised rate only covers the most basic claims,” said a representative for Paymedics. “When it comes time to actually fight for a denied payment or follow up on old accounts receivable, they often find out those services cost extra. We’ve decided to put the entire billing process under one 2.99% rate. It keeps things honest—the doctor knows exactly what their costs are, and our team can focus on recovering every dollar without having to track extra fees for every phone call or appeal.
The 2.99% model is designed to cover core billing services, including claim submission, denial management, and patient billing. While specific service scopes can vary based on the unique needs of a specialty or clinic, the goal of the initiative is to provide a standardized, easy-to-forecast expense for independent healthcare providers.
As administrative costs for medical practices continue to rise, Paymedics’ shift toward a transparent, flat-percentage model offers a practical alternative to the complex fee structures currently prevalent in the revenue cycle management industry.
About Paymedics
Paymedics is a physician-owned medical billing and revenue cycle management company headquartered in Richardson, Texas. Serving over 100 practices nationwide, the firm specializes in providing transparent financial solutions, including claims processing, credentialing, and A/R follow-up. Paymedics is committed to a simplified pricing philosophy designed to help independent healthcare providers manage their revenue with greater predictability and fewer administrative hurdles.
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