CSI Financial Services

Media Contact: Jennifer Vansant at 858-200-9213 or jvansant@csifinancial.com

Questions Hospitals Should Ask When Considering a Patient Financing Program

San Diego, California, Feb. 25, 2006 -- CSI Financial Services, LLC (CSI), has published a checklist entitled, Ten Questions Hospitals Should Ask When Considering a Patient Financing Program. The checklist, which is available for downloading from www.csifinancial.com, was specifically written for hospitals and other healthcare facilities that want to offer their patients attractive, flexible and compassionate patient financing while improving the collection efforts at the healthcare facility.

"Sending unpaid accounts to a collection agency is often at odds with a hospital's mission of treating people well. Yet there is a dire need for hospitals and other healthcare providers to collect a higher percentage of patient obligations in a way that will not compromise patient satisfaction," said Mitch Patridge, Chairman and CEO of CSI. "CSI has focused on these two goals for the past 13 years, and our experience provides valuable guidance for hospitals who would like to quickly improve their revenue cycle while increasing both the level and quality of available patient financial services offered by the healthcare provider."

The checklist summarizes observations and recommendations gleaned from CSI's ongoing partnerships with hospitals across the United States. The following is a condensed version of the "Ten Questions Hospitals Should Ask When Considering a Patient Financing Program". The complete checklist is available at the CSI website mentioned above:

1. Does the program reach the maximum number of patients? Some patient financing programs do not accept patients who are most in need of a loan. Look for a financing partner that can qualify the weaker credit risks and serve the maximum number of patients.

2. Is it easy for patients to use? Look for a program that does not require patients to complete lengthy applications. Patients and their families are already stressed enough without having to wade through paperwork and meet multiple times with financial counselors in order to qualify for a loan.

3. Is it easy for hospitals to administer? Look for a partner that can score healthcare obligations with a high degree of accuracy and that is well equipped to administer all details once the loan has been granted.

4. Does the program streamline processes already in place? Programs that don't cause hospitals to change procedures or buy hardware or software will improve the return on investment (ROI). Look also for value-added services such as automating processes that are already in place.

5. Does the partner company offer the ability to consolidate patient debt over time? Look for a program that can consolidate receivables from multiple patient visits. This eases the patient's mind and greatly reduces paperwork and costs for both patients and the hospital.

6. Do they provide professional and compassionate management of patient accounts? Removing receivables from the hospital's books and lightening the workload are tertiary goals. Make sure the company is experienced in healthcare debt and treats patients with respect and dignity.

7. What is the track record of the funding company? It is important to find out how long the company has been in business and how many funding sources they have. Ask to see their references and inquire if theyve ever not been able to fund.

8. Does the funding company listen to its customers? Determine if the company will work with the hospital to help meet its goals. If the hospital wants to give loans to every willing patient regardless of credit score, ask if the company accommodate this.

9. How flexible is the funding company? A patient funding program should be flexible so that it is able to change as the hospital's needs change.

10. Does the partner company work with hospitals to gain community acceptance of the patient financing service? Many hospitals believe that they will lose patients if they are too heavy handed with trying to collect on patient debt. Look for a financing partner that is willing and able to help with the public relations component of patient financing programs.

Trends in the uninsured and underinsured populations have led to a dramatic increase in patient-paid receivables. On average, they represent 15 to 20 percent of a healthcare provider's receivables, yet only two to five percent of their net revenue. By taking advantage of CSIs unique financing methods healthcare providers can easily provide affordable financing to a diverse and underserved portion of their patient population and significantly improve on collections.

CSI Financial Services has provided hospitals with more than $150 million in advance payments for patient accounts and currently has patient loans in every state. For more information, visit www.csifinancial.com.

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