Medical or Dental Billing Services Agreement
Agreement made on the _____________ (date) , between ____________________
(Name of Medical Billing Company) , a corporation organized and existing under the laws of
the state of ______________, with its principal office located at _________________________
_____________________________________________________ (street address, city, state,
zip code) , referred to herein as Medical Billing , and _________________________ (Name of
Medical Group) , a professional association organized and existing under the laws of the state
of ______________, with its principal office located at _________________________________
____________________________________________ (street address, city, county, state,
zip code) , referred to herein as Client .
Whereas, Medical Billing is a healthcare claims processing and services company and
________________________ (Name of Client) is a healthcare provider; and
Whereas, Medical Billing provides computerized claims, billing and collection services to
healthcare providers and files medical insurance claims on behalf of healthcare providers with
government and commercial companies by electronic and paper means, and also provides for
billing services directly to patients or for patient's portion of healthcare provider fees not covered
by insurance; and
Whereas, Client desires to retain Medical Billing to provide it with such claims and billing
services pursuant to this Agreement;
Now, therefore, for and in consideration of the mutual covenants contained in this
agreement, and other good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, the parties agree as follows:
1. Commencing on _____________ (date) , Medical Billing will process all the Client 's
medical insurance claims for payment by government and commercial companies by either
electronic or paper means and make available all information necessary to properly process the
Client's claims and to submit all such billing and insurance information to the appropriate party
(e.g., daily, weekly, etc.) _______________. Medical Billing will process and submit all Client s’
claims within ______ hours by electronic means wherever possible, and by paper means when
otherwise necessary.
2. Medical Billing will provide to Client a direct fax number, through which Client will
provide to Medical Billing claims and billing information necessary for Medical Billing to properly
process Client's claims.
3. All patient information and data provided by the Client to Medical Billing shall be kept
confidential and shall not be disclosed to anyone outside of Medical Billing other than to the
extent necessary for Medical Billing to process and submit claims for the Client .
4. Neither Medical Billing nor Client will disclose the contents, terms or conditions of this
Service Agreement to any third party without the express written consent of the other.
5. Client will pay Medical Billing a one-time setup fee of $_________ to cover the cost of
gathering information from the Client and setting up the Client 's files for entry into
computer system. The information and initial setup covered by this initial fee includes, but
is not limited to:
Doctor Profile;
Listing of Current Insurance Companies Used;
Referring Physicians;
Facilities at Which Doctor is Accepted or Transfers Work;
Diagnostic Codes;
Procedure Codes and Fees;
Signed Patient Registration Forms (to be kept in Client's office); and
Registration with Clearinghouse which will distribute claims to the carriers.
6. Client will pay to Medical Billing _____% of the total (gross) amount collected from all
insurance companies and all patients as a result of the billing services performed by
Medical Billing for Client , with a $_________ monthly minimum billed amount. Client agrees to
provide copies of all Explanation of Benefits (EOB) forms received from insurance payers
to Medical Billing as well as records of payments received directly from patients (e.g., weekly)
_____________ . Medical Billing shall post the payments received from the insurance payers to
the patient's file, shall file any secondary or tertiary claims, and shall bill the patient directly
when necessary in order to secure full payment for the Client .
7. Medical Billing shall provide to Client management reports regarding the practice on a
timely basis. The types of Monthly Management Reports shall include the following:
Insurance Aging Report – monthly;
Patient Aging Report – quarterly;
Practice Analysis – monthly;
Other(s) _______________________________
8. Medical Billing will close its books for billing purposes on the last day of each month and
will bill Client for its services on the _____ business day of each succeeding month for the
previous month's processing. Client will pay Medical Billing for its services upon receipt of
receiving Medical Billing 's invoice. If Client fails to submit payment within the time set forth in
this Paragraph, Client will be responsible for paying, in addition to the principal amount
billed, a ______% per month late charge for each month or any portion thereof payment of the
billing is late.
9. During the term of this Service Agreement, Client will not use the services of
any other claims processing companies and will allow Medical Billing to process all of the
Client's medical insurance claims with the government and commercial companies.
10. Either party may terminate this Service Agreement at any time by providing a thirty
(30) day written notice with explanation or reason why termination is desired to the other
party.
11. Medical Billing will be serving as a conduit of information and claims data between Client
and many insurance payers, both government and commercial. Client will be providing all
such claims information and data to Medical Billing , including but not limited to procedure codes,
identifying the exact procedures Client has performed on patients. Client verifies that all
such procedures were in fact performed on the patients as specified. Medical Billing has no
authority to and will not change any of these procedure codes without the express
permission and direction of Client .
12. Client understands that Medical Billing is relying entirely on the claims and billing
information supplied to Medical Billing by Client in preparing and submitting insurance claims for
payment on behalf of Client . Client warrants and represents that all such claims and
billing information is entirely accurate and truthful. If any investigation is initiated or if any
action is brought by any individual, company or entity whatsoever regarding any of the
claims filed by Medical Billing on behalf of Client , then Client agrees to cooperate fully in any
such investigation or action and shall provide all relevant supporting documentation to support
the claim(s) filed.
13. Client understands that Medical Billing will not provide insurance pre-authorizations.
14. Client agrees to indemnify and hold Medical Billing harmless for any and all damages or
penalties imposed and any attorney’s fees incurred by Medical Billing in defending any such
action resulting from Client 's failure to provide truthful and accurate billing and claims
information to Medical Billing .
15. Severability
The invalidity of any portion of this Agreement will not and shall not be deemed to affect
the validity of any other provision. If any provision of this Agreement is held to be invalid, the
parties agree that the remaining provisions shall be deemed to be in full force and effect as if
they had been executed by both parties subsequent to the expungement of the invalid provision.
16. No Waiver
The failure of either party to this Agreement to insist upon the performance of any of the
terms and conditions of this Agreement, or the waiver of any breach of any of the terms and
conditions of this Agreement, shall not be construed as subsequently waiving any such terms
and conditions, but the same shall continue and remain in full force and effect as if no such
forbearance or waiver had occurred.
17. Governing Law
This Agreement shall be governed by, construed, and enforced in accordance with the
laws of the State of _____________.
18. Notices
Any notice provided for or concerning this Agreement shall be in writing and shall be
deemed sufficiently given when sent by certified or registered mail if sent to the respective
address of each party as set forth at the beginning of this Agreement.
19. Attorney’s Fees
In the event that any lawsuit is filed in relation to this Agreement, the unsuccessful party
in the action shall pay to the successful party, in addition to all the sums that either party may be
called on to pay, a reasonable sum for the successful party's attorney fees.
20. Mandatory Arbitration
Any dispute under this Agreement shall be required to be resolved by binding arbitration
of the parties hereto. If the parties cannot agree on an arbitrator, each party shall select one
arbitrator and both arbitrators shall then select a third. The third arbitrator so selected shall
arbitrate said dispute. The arbitration shall be governed by the rules of the American Arbitration
Association then in force and effect.
21. Entire Agreement
This Agreement shall constitute the entire agreement between the parties and any prior
understanding or representation of any kind preceding the date of this Agreement shall not be
binding upon either party except to the extent incorporated in this Agreement.
22. Modification of Agreement
Any modification of this Agreement or additional obligation assumed by either party in
connection with this Agreement shall be binding only if placed in writing and signed by each
party or an authorized representative of each party.
23. Assignment of Rights
The rights of each party under this Agreement are personal to that party and may not be
assigned or transferred to any other person, firm, corporation, or other entity without the prior,
express, and written consent of the other party.
24. In this Agreement, any reference to a party includes that party's heirs, executors,
administrators, successors and assigns, singular includes plural and masculine includes
feminine.
WITNESS our signatures as of the day and date first above stated.
___________________________ _________________________
(Name of Medical) (Name of Client)
By:______________________________ By:________________________________
__________________________ _________________________
(P rinted name & Office in Corporation) (P rinted name & Office in Association
__________________________ _________________________
(Signature of Officer) (Signature of Officer)
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