What is the purpose of insurance verification?

The purpose of insurance verification is primarily to ensure that a patient’s insurance policy is active and that it covers the services that are anticipated to be provided. This process is essential for healthcare providers as it helps to confirm that the patient is eligible for benefits and that the treatments or procedures being proposed will be reimbursed by the insurance company. By verifying this information prior to the delivery of care, medical facilities can prevent unexpected costs for patients and avoid complications related to billing and coverage.

Other options don't align with the primary focus of insurance verification. Negotiating better rates with providers can be part of contract negotiations, but it is not the main goal of verification. Refusing treatment based on insurance coverage is not ethical practice; providers are obligated to assess patient treatment needs rather than deny care arbitrarily. Additionally, determining the office's profit margin is a financial analysis that does not directly relate to insurance verification, which is focused more on patient eligibility and coverage specifics.