AAHAM CRCS Exam STUDY MANUAL CH 5 Credits and Collections 100% Accurate

Charity Care - ANSWER service provided that is never expected to result in cash flow. Charity Care results from a provider's policy to provide healthcare services free of charge or at a reduced cost to individuals who meet certain financial criteria. Indigent - ANSWER an individual who has no means of paying for medical services or treatments and is not eligible for benefits under Medicaid or any other public assistance program bad Debt - ANSWER an uncollectible account resulting from the extension of credit. examples of bad debt include patients who default from payment arrangements, skip, file bankruptcy without assets, or have insolvent estates, and guarantors who refuse to pay. statute of limitations - ANSWER the amount of time in which a claim must be collected before it is deemed paid or satisfied. No legal proceedings can be initiated after the statue of limitations expires.