Better mind the calendar if you plan on getting paid
By Janice Salmon, JustPressOne
It is critical to know the number of days manufacturers and third-party administrators (i.e., job sources) allow from the time the technician completes the repair until claims need to be submitted to ensure payment.
In most cases, if your company does not adhere to the submission time-period guideline, your claim will be rejected. The rejection reason is typically “Past Submittal Date.” In the case of Whirlpool Corp., its “Service Provider Operating Guide” indicates a 45-day window, “except for FIP doors and part availability issues.” When you choose to exercise the escalation process for part delays, it can take two to three days to receive a response, so keep this in mind.
Another example can be found in the “Samsung Authorized Service Provider Policy & Procedure Guide.” That guide states, “To ensure prompt payment, the claim should be submitted within five days of the completion date. All claims must be submitted within 30 days of the repair completion date. Claims filed after the 30 days will not be eligible for payment.”
Best Practice: Acquaint yourself with the claim submission time periods by job source and claim type and file all claims at least weekly.
The following are examples of critical policies that may have time limits by claim type:
- All new warranty claims must be filed in ___ days from completion of the repair.
- A rejected warranty claim must be corrected in ___ days from the date it was rejected.
- A new warranty claim for customer education must be filed in ___ days from the completion of the repair. Remember some manufacturers have a seven-day or no-day cosmetic warranty period and it’s the dealers’ responsibility.
- A new warranty installation claim must be filed in ___ days from the completion of the repair. For most manufacturers. “I&I” rule for self-servicing dealers is 30 days from the date the unit was installed.
- Authorization/concessions must be filed within ___ days of creation of the authorization.
(Ask the manufacturer’s representative if the authorization expires and when calling for the override.) - Parts distributor invoices expire in ___ days from date of creation.
(Refer to the parts distributor’s operating practices.) - Parts and certain models can have an extended warranty period for ___ days after the first-year warranty.
(Again, refer to the parts distributor’s operating practices.)
Consider back-dating claims on second trip part installs. When a customer has been contacted to have parts installed that were special ordered and they request a delay due to vacation, etc., backdate the claim to reflect the part(s) received date. Then submit the claim, but do not close the service order. When the customer is ready to have the part(s) installed, simply complete the service call.
At JustPressOne, we will file your claims the same day the service is completed so there is no delay in getting approved and paid. Check out the claims administration service we provide and give us a call at (877) 311-6602, Ext. 8000.
Janice Salmon is the founder and CEO of JustPressOne, a business process outsourcing company and AVB partner that provides claims administration services for independent service companies and self-servicing dealers in the home appliance industry. For more information visit JustPressOne.com.
