Why Does Bomi Charge a Percentage for Billing?

Bomi prefers percentage-based billing because we want the same thing your practice wants: appropriate payment for the care you provide. Filing a claim is one step. When our fee depends on eligible collections, we have a financial reason to stay involved in the work between submission and payment.

How does a percentage fee align our incentives?

Under a collections-based arrangement, an unpaid claim does not yet produce a percentage fee on that claim’s payment. Resolving an eligibility error, finding a missing remittance, or following an underpayment can help your practice collect and can increase the fee we earn. The practice and billing team share a financial interest in finishing the work.

That alignment is a reason for our choice, not proof that every percentage biller works well. A biller can still neglect difficult claims or communicate poorly. You should be able to see unresolved items, responsibilities, and progress regardless of the pricing model.

What does Bomi’s 4% apply to?

Our standard billing arrangement is 4% of Net Collections as defined in the agreement. At $10,000 of eligible net collections, that is $400. At $20,000, it is $800. An unpaid claim is not a collection. These examples exclude separately agreed services and applicable third-party costs.

The definition matters. Bomi’s current standard agreement addresses collections recorded in the practice’s EHR, eligible claim and service dates, patient and self-pay receipts, and reductions for refunds, reversals, chargebacks, and credits. It also addresses preexisting claims and revenue streams the practice elects to track separately. Review the actual agreement for your practice; “4%” alone does not tell you which receipts are included.

Why not charge only for submitting each claim?

A submission fee can be a sensible way to price work, particularly where percentage compensation is prohibited. But claim transmission alone does not tell a practice whether anyone will investigate a rejection, appeal a denial, or reconcile payment. We want the service relationship to include follow-through even when the fee unit changes.

Our preference for collections-based pricing is about an ongoing working relationship. Your team supplies timely documentation and accurate practice information. Our team handles the agreed billing work and communicates what is preventing payment. Neither team can solve every payer problem alone.

Why not charge a flat monthly fee or bill by the hour?

A fixed fee can be attractive when a practice wants a steady budget and the scope is stable. Hourly work can fit an audit or a defined cleanup. We prefer a collections percentage for ongoing billing because the fee moves with the agreed collected revenue instead of staying fixed or rising with time spent.

Every approach has trade-offs. A percentage fee grows as collections grow, and a practice with a highly efficient internal team may find another structure cheaper for equivalent work. We think the right comparison is service, accountability, and the amount your practice keeps after costs.

What happens where percentage fees are prohibited?

We use the applicable per-claim arrangement instead of a prohibited percentage. Bomi’s current standard agreement specifies $6 per original claim first submitted for covered restricted-state services. It is earned at submission regardless of payment; corrections, appeals, secondary submissions, and follow-up for the same underlying claim do not generate another per-claim fee.

That changes the compensation formula. It does not mean the practice should lose a named owner for payment problems. Ask us to explain the applicable fee, service scope, and state treatment before signing.

Related questions

When state law changes the pricing model

See Bomi’s current pricing or talk through your practice’s billing needs.

Frequently Asked Questions

Does Bomi get paid on an unpaid claim?

Under the standard percentage arrangement, an unpaid claim has not generated a collection on which to calculate that percentage. Under the applicable restricted-state per-claim arrangement, the fee is earned at first submission regardless of payment.

Does percentage pricing guarantee higher collections?

No. It creates a financial incentive to work toward payment. Actual results depend on coverage, payer contracts, documentation, deadlines, and the work performed.