Understanding the Explanation of Benefits

Medicare’s billing requirements can be confusing, especially for hospice patients and their families who are already navigating a difficult time. Hospice claims must be billed with daily rates and itemized charges, which often results in paperwork that appears more alarming than it truly is. This explanation of benefits (EOBs) can show high dollar amounts that look like bills, even though they’re not actual invoices or amounts owed by the patient.

At Advanced Revenue Cycle Management, we understand how overwhelming this can be. It’s not uncommon for family members to open an explanation of benefits, see a large figure and go into panic mode, thinking they’re responsible for paying those charges. The truth is, Medicare requires this billing format, even though the itemized services aren’t billed separately and are covered under the hospice daily rate.

Providing Clarity and Compassion When It Matters Most

When questions arise—and they often do—we’re here to help. Sometimes the person answering the phone at a hospice agency may not have the technical expertise to explain the EOB in depth. That’s where our team comes in. We’re always happy to speak directly with patients or their loved ones to walk through the charges, explain the Medicare process, and offer reassurance that they are not financially responsible for what they’re seeing.

We view this as an extension of the compassionate care hospices provide. By taking the time to explain billing clearly and kindly, we help ease unnecessary stress and strengthen trust between providers and the families they serve.