Improving patient financial experience: A strategic imperative

The definition of exceptional patient care continues to evolve. Today, it extends beyond clinical outcomes to include every moment of a patient’s interaction with a health care organization. Among the most important of these touchpoints is the financial experience. A transparent, compassionate and seamless financial journey is no longer a secondary consideration. A positive financial experience not only enhances patient satisfaction but also strengthens an organization’s financial stability by improving collection rates and fostering patient loyalty.

Our recent RCM Benchmark Survey Report underscores this industrywide focus. The study, which gathered insights from 115 hospital and health system leaders, reveals that improving the patient financial experience is a dominant priority. However, it also highlights the significant operational challenges that stand in the way of achieving this goal. For health care leaders, addressing these barriers is critical to building a revenue cycle that is both financially strong and patient centered.

The mandate for a better patient financial experience

The push toward a better financial experience is driven by both patient expectations and organizational necessity. Patients today expect the same clarity and convenience they experience in other service industries. When billing processes are confusing or opaque, trust and satisfaction suffer, regardless of the quality of clinical care.

The survey data confirm that health care leaders recognize this reality. An overwhelming 80% of organizations are prioritizing the improvement of the patient financial experience and transparency. This near-universal consensus signals a fundamental understanding that a positive financial journey is directly linked to patient satisfaction and retention.

However, progress is not without challenge. The workforce shortage continues to undermine these efforts. Almost half (44%) of organizations acknowledge that staffing constraints have negatively impacted patient experience and customer service. This tension creates a difficult paradox: the need to strengthen patient engagement while struggling to maintain sufficient personnel to support it.

Core pillars of a positive patient financial experience

To close the gap between intention and impact, organizations must ground their strategies in three essential pillars: transparency, communication and streamlined processes. These elements form the foundation of a financial experience that supports patients, builds trust and drives stronger performance.

1. Transparency that builds confidence

Uncertainty fuels anxiety. Patients want to understand what their care will cost, how their insurance applies and what their financial responsibility will be. True transparency is proactive and rooted in education.

• Provide accurate preservice estimates: Leveraging technology to provide patients with reliable, up-front estimates of their financial responsibility can prevent surprise bills and reduce anxiety. This demonstrates integrity and helps patients plan with confidence.
• Clarify insurance coverage: Equip your teams to explain benefits, deductibles and copays in plain language. Empowering patients with information reduces confusion and fosters trust.
• Offer clear, understandable billing statements: Bills filled with medical jargon and complex codes are confusing and intimidating. Redesigning statements to be clear, simple and easy to read can significantly improve the patient experience and lead to faster payments.

2. Proactive and empathetic communication

• Financial conversations can be difficult, but they also present an opportunity to strengthen relationships. Proactive, empathetic communication ensures patients feel supported, not overwhelmed. Offer multiple communication channels: Patients have different communication preferences. Offering a mix of phone, email, text and patient portal messaging ensures you can connect with patients in the way that is most convenient for them.
• Provide financial counseling: Having dedicated financial counselors available to discuss payment options, financial assistance programs and insurance coverage is a critical component of a patient-centric model. This provides a human touch and demonstrates that the organization is a partner in the patient’s care journey.
• Communicate with empathy: Financial discussions can be stressful. Training staff to communicate with empathy, patience and understanding can transform a potentially negative interaction into a positive one.

3. Streamlined, convenient processes

A cumbersome billing and payment process creates unnecessary friction for patients. By streamlining these workflows and offering modern conveniences, organizations can make it easier for patients to fulfill their financial obligations.

• Implement digital payment options: Offering a variety of digital payment methods, including online portals, mobile payments and automated payment plans, meets modern consumer expectations and accelerates collections.
• Consolidate billing statements: Patients receiving multiple bills from different departments for a single visit are often left confused and frustrated. Consolidating charges into a single, comprehensive statement simplifies the process and improves clarity.
• Automate where possible: Technology can streamline many aspects of the patient financial journey, from appointment reminders to payment notifications, ensuring consistent and timely communication without overburdening staff.

Preparing for H.R. 1 and its impact on the patient experience

The focus on the patient financial experience is further amplified by the H.R. 1 budget reconciliation legislation, which brings significant changes to federal health programs that directly affect the revenue cycle and patient financial interactions. With the legislation now law, health care providers must proactively adapt to the evolving environment in which their patients’ financial obligations and coverage arrangements may shift.

For providers committed to protecting both patients and operational stability, the path forward involves three strategic areas of preparation:

• Strengthen eligibility and enrollment services: Under H.R. 1, states will face new requirements around eligibility verification, redeterminations and documentation for certain populations in federal health programs. Organizations should identify patients at risk of coverage disruption and proactively guide them through enrollment or renewal processes before services are rendered and financial liability is transferred to the patient.
• Enhance financial counseling for Medicaid patients: The new law introduces tighter verification requirements and shorter eligibility cycles for certain Medicaid and marketplace populations. As a result, some patients may experience changes in benefits or increased out-of-pocket costs. Providers must prepare financial counseling teams to help patients understand these adjustments, explore financial assistance options, and establish sustainable payment plans that preserve trust and continuity of care.
• Leverage technology to monitor coverage changes: H.R. 1 increases administrative demands for eligibility tracking and reporting. Automated systems that continuously monitor patient coverage can detect changes early and alert revenue cycle teams to potential gaps. This allows for timely outreach and patient support before a bill reaches collections.

By taking these proactive steps, health care organizations can mitigate financial risk for both patients and the institution. More importantly, they can reaffirm their role as trusted partners who help patients navigate care and cost with transparency, empathy and confidence.

A strategic path forward

Improving the patient financial experience is no longer an optional initiative; it is a strategic imperative with direct implications for patient satisfaction, loyalty and an organization’s financial performance. While workforce shortages present a formidable challenge, the solution lies in a strategic reimagining of the revenue cycle.

By focusing on the pillars of transparency, communication and streamlined processes, health care leaders can design a financial journey that is clear, supportive and convenient. Leveraging technology and strategic partnerships can help automate and optimize these processes, allowing strained in-house teams to focus on high-value, patient-facing interactions. In doing so, organizations can meet the rising expectations of today’s patients and build a financially resilient, patient-centric future.

Laxmi Patel is chief strategy officer for Savista and brings a unique perspective with her background in consulting, human resources and strategy. At Savista, she is responsible for growth strategy, service line management and expansion, automation, continuous improvement and M&A.