What is the system called that generally allows electronic claims to be processed faster than paper claims?

The system that allows electronic claims to be processed faster than paper claims is known as electronic data interchange (EDI). EDI refers to the electronic transfer of data between different organizations, specifically in the context of financial and administrative transactions, including healthcare claims. This system streamlines the process of submitting, receiving, and processing claims, allowing for quicker communication between healthcare providers and insurance companies.

Using EDI eliminates the delays associated with paper claims, such as mailing time and manual data entry errors, enabling claims to be processed more efficiently. The result is usually quicker reimbursements for healthcare providers and an overall improvement in the healthcare billing and claims handling process.

Comparatively, while a paperless system might imply the absence of paper in the process, it does not specify the technology used to facilitate faster processing. Integrated coding refers to the use of diagnostic and procedural codes in electronic claims but doesn’t encompass the entire system of claims processing. Claims batching involves grouping claims together for processing, which may help in efficiency but does not inherently relate to the electronic speed advantage provided by EDI.