E-Invoicing in Healthcare Industry: A Simple Guide
Malaysia is rolling out e-Invoicing in healthcare industry, and hospitals, clinics, and medical professionals need to know how it affects their billing processes. This guide breaks down the key changes in a simple and easy-to-understand way.
1. Will hospitals need to change how they issue invoices?
Right now, hospitals issue invoices based on who is paying:
Patients who pay for themselves
Insurance companies, employers, or guardians paying on behalf of a patient
Companies covering medical expenses for employees
These billing arrangements will stay the same under e-Invoicing in healthcare industry. Exception: If the patient is a minor (under 18), the invoice should include the parent/guardian’s details.
2. Can hospitals issue one e-Invoice for all self-paying patients?
Yes! If a patient does not need an e-Invoice, the hospital can issue a single consolidated e-Invoice for all similar transactions.
3. How does e-Invoicing work for insurance claims?
Currently, hospitals send a proforma bill to insurance companies before getting a Final Guarantee Letter (FGL) and finalizing the bill.
With e-Invoicing:
Hospitals can continue using proforma invoices for insurance claims. If an e-Invoice is requested, it must be issued after the final bill is ready (e.g., after the patient is discharged).
If no e-Invoice is requested, hospitals can issue a normal bill and later submit a consolidated e-Invoice within 7 days after month-end.
4. How should hospitals issue e-Invoices for independent consultants?
Hospitals work with independent consultants in two ways:
(1) Co-Provision of Medical Services
Both the hospital and consultant will issue separate e-Invoices to the patient.
(2) Outsourcing Arrangement
The hospital issues an e-Invoice to the patient, covering both hospital and consultant fees. The consultant (or their company) issues an e-Invoice to the hospital for their services.
5. Do locum doctors and nurses need to issue e-Invoices?
It depends on how they are hired:
If t