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A healthcare clearinghouse basically serves as the middleman between healthcare providers and insurance payers. A clearinghouse checks medical claims for errors, ensuring the claims can get correctly processed by the payer.
Interestingly, claims are subjected to rejection or denial because of human error. Insurance companies return rejected claims to billers because they contain one or more errors and need to be corrected.
Clearinghouses use scrubbing to make sure claims are not rejected. This is how clearinghouses work; when healthcare facilities install medical billing software, each claim becomes a file known as an ANSI-X Interestingly, claims are subjected to rejection or denial because of human error. Insurance companies return rejected claims to billers because they contain one or more errors and need to be corrected. Clearinghouses use scrubbing to make sure claims are not rejected.
This is how clearinghouses work; when healthcare facilities install medical billing software, each claim becomes a file known as an ANSI-X The software uploads the file to your medical claims clearinghouse where it is checked for errors, then transmitted electronically to the payer.
Please note that the way clearinghouses work is that the payer can either accept or reject the claim.