Use Case: Consolidated Invoicing for CDH/COBRA Third Party Benefits Administrators
The management of Consumer-Driven Health (CDH) and (COBRA) administration presents a unique set of challenges for third-party administrators (TPAs) and organizations alike. In this use case, we explore the benefits of using TPA Stream Consolidated Invoicing to streamline and optimize the billing process for CDH and COBRA administrators.
Invoicing for CDH with COBRA benefits is challenging without the right software platform in place. Often, TPAs pull insured employee counts from their benefit administration software platforms like WEX or Alegeus, add them up in Excel, create a manual detailed invoice, and then generate a separate, less detailed payable invoice in Quickbooks.
Manual invoicing often led to inefficiencies, errors, and increased operational costs for TPAs. Moreover, tracking and reconciling invoices for CDH and COBRA benefits requires significant time and resources.
Imagine a mid-sized TPA responsible for managing CDH and COBRA administration for 1,000 employers each with varying requirements and benefit plans.
The TPA is struggling with the following challenges
- Multiple Data Sources: The TPA is juggling data from various sources, primarily Alegeus’ WealthCare platform for CDH and WEX’s COBRA Point platform making it challenging to maintain accurate and up-to-date records.
- Invoicing Complexity: Creating separate invoices for CDH and COBRA benefits, dealing with different billing cycles, and ensuring accuracy becomes a cumbersome process.
- Reporting Burden: Compliance and financial reporting are resource-intensive, with the TPA spending significant time compiling data from disparate sources to create comprehensive reports.
The Solution: The TPA decides to implement TPA Stream Consolidated Invoicing to address these challenges.
- Centralized Data Management: TPA Stream allows the TPA to centralize all CDH and COBRA billing data like recurring fees, one time fees, and adjustments. By doing so, it streamlines data integration and ensures that information is up-to-date and accurate. The fees are simply applied to the benefit-eligible records from the benefits administration system like WeathCare, WeathCare COBRA, WEX COBRA Point, and more.
- Unified Invoicing: With TPA Stream, the TPA can generate consolidated invoices that encompass both CDH and COBRA benefits. This not only simplifies premium collection but also provides a clear and unified view of billing information.
- Automation and Workflow Management: TPA Stream offers automation capabilities for routine tasks, such as premium collection, claims processing, and compliance reporting. This reduces the risk of errors and frees up staff to focus on more strategic tasks.
- Reporting and Analytics: The platform includes robust reporting and analytics tools that enable the TPA to generate custom reports and gain insights into cost management and compliance, improving overall decision-making.
Use Case Benefits: By adopting TPA Stream Consolidated Invoicing, the TPA experiences the following benefits
- Cost Reduction: Streamlined processes and automation lead to cost savings by reducing the time and resources needed for CDH and COBRA administration.
- Increased Accuracy: The centralized data management and unified invoicing reduce the risk of errors and inaccuracies in collection and reporting.
- Improved Client Satisfaction: With more efficient and accurate administration, clients receive a higher level of service, leading to increased satisfaction and retention.
- Increased Revenue: Capture more revenue from carry overs, run out periods, or adjustments. With consolidated invoicing, invoices are sent more quickly, improving cashflow.
The use of TPA Stream Consolidated Invoicing has transformed CDH and COBRA administration for the TPA. By centralizing data, streamlining invoicing, and automating tasks, the TPA has not only reduced costs and improved accuracy but also enhanced client satisfaction and compliance. This use case demonstrates how TPA Stream Consolidated Invoicing is a valuable tool for TPAs looking to optimize their CDH and COBRA administration services.
Visit Consolidated Invoicing product overview to learn more about Consolidated Invoicing for CDH and COBRA benefits.