In what way can social determinants of health affect the revenue cycle?

The impact of social determinants of health (SDOH) on the revenue cycle is significant, as they can influence both patient access to care and the effectiveness of collection efforts. SDOH include factors such as socioeconomic status, education, neighborhood and physical environment, employment, social support networks, and access to healthcare. When patients face barriers due to these determinants, such as transportation issues or financial constraints, their ability to access necessary medical services is compromised. This decreased access can lead to delayed treatment or avoidance of care altogether, ultimately resulting in lower revenue for healthcare providers.

Moreover, when patients struggle with social determinants, they may also experience difficulties in fulfilling their financial obligations, affecting the revenue cycle's collection efforts. Collecting payment becomes more challenging as patients may not have the financial resources or support to afford their medical bills. Understanding how these factors interplay helps healthcare organizations design strategies that not only improve patient care but also enhance the overall effectiveness of the revenue cycle, ensuring that both access to services and financial viability are addressed.