Automating the reimbursement of medical expenses

Invoice Processing at a Health Maintenance Organization (HMO)

CZ is a Dutch medical insurance company with high standards in service and efficiency. It resolved two problems at once by setting up an IRISXtract™ Digital Mailroom. The company’s own organization benefits from a leap in efficiency internally, while at the same time customers enjoy faster processing.

“Our head office collaborated previously with IRIS in 2004. At that time, we implemented a scan and recognition project in order to achieve faster and more efficient processing of medical expenses claims. The new project has brought us to IRIS once again,” explains Ton van Rhijn, Head of ICT and Document Processing.

CZ analyst Henri Koks elaborates: “The aim is automating the reimbursement of medical expenses, so to process incoming invoices promptly and efficiently in order to speed up the payment process. It sounds quite simple, but when you think about the way the invoices are received, the sheer number of them, and how inconsistent the different paper invoices are, you start to understand what an extremely difficult undertaking it was to coordinate everything. Decisions needed to be made on which invoice streams to prioritize for processing, and how this should be done. Existing bottlenecks also had to be identified.”

Let the Digital Mailroom carry out processing decisions

Once received, the medical expenses invoices are scanned and categorized using a classification solution based on the IRISXtract™ platform. The system determines the invoice type, the category to which the document belongs and to which employee the invoice should be transferred.

Henri Koks: “The big advantage of the new procedure is that many of the processing decisions within the organization are made automatically by the system, rather than having to be carried out by employees.”

Achieve cost savings with the automatic processing of medical invoices

A total of eight million invoices are processed annually at CZ. The entire process is carried out using a combination of classification and recognition software, to which an electronic workflow has been adapted. This saves employees a lot of manual work such as sorting, controlling, and adding missing information.

“This has significantly reduced the processing time for us as an organization, which in turn has led to substantial cost savings,” says van Rhijn. “The IRIS system allows us to classify all incoming invoices and immediately recognize the information on dental invoices. We receive between 8,000 and 9,000 dental invoices a day. We have managed to achieve considerable savings through the automatic classification and recognition of these invoices alone. We have also achieved a substantial increase in efficiency in terms of the processing procedures. Ideally, we would like to be able to handle much more of our processing in this way in the future. The software can be set up for other document streams and batches, such as the capturing of non-productive hours. This is how the front office of the organization is slowly taking on the function of a Digital Mailroom.”

We chose IRIS for their excellent classification results, transparency, speed, and the user-friendliness of their Digital Mailroom solution, which allows us to supervise this project autonomously.
Henri Koks, Analyst, CZ

Solution with:

Key facts

  • 8 million invoices processed annually
  • Between 8,000 and 9,000 dental invoices a day
  • Substantial cost savings thanks to reduced processing times