by Tracy McQuilkin
Distributors deduct because they do not get paid quickly enough. The biggest cause of claims not getting paid on time is because of "pendings."
A status of "pending" occurs when the contract we have on file does not match the claim we received. Why is that? Why are customers given different contracts than what are input into the ContractPro® application? Those ContractPro® clients that have fewer pendings have fewer deductions. Pendings and deductions go hand and hand.
Did you know when a claim is paid by deduction an additional six hands have to touch that claim? To change this we need to make sure that distributors get their contracts prior to their program starting and use the ContractPro® contract letter to communicate with the customers. If the claims match the contracts we will have far less deductions causing a lot less work for both sides.