Outsourced Legal Bill Review Program
Why outsource your legal bill review?
· Increase likelihood of appropriate reductions being taken
· Allows for maximum consistency in uniformly applying billing rules fairly to all outside counsel
· Frees up valuable staff time taken to do a duty they generally do not do well and allows them more time for other important duties, a true win-win situation
Here is what one expert has to say about why legal bill reviews should be outsourced:
“Conventional wisdom has been that claim handlers are in the best position to review legal bills on the claim files they work on. The reality is legal bill review, for most claim handlers, is a dreaded task considered a necessary evil. In addition, I find that some claim handlers rarely cut inappropriate charges because they develop a working relationship with the attorney and do not want to hamper that relationship for what are felt to be minor issues. However, when the bill review process is separated from the claims handler, many of these concerns or conflicts go away. Handlers can focus on managing claims and developing open working relationships with counsel and billing issues can be addressed by others.”
Marc Lanzkowsky, “Cutting Costs Without Overloading the Claims Handler,” the Claims SPOT, April 6, 2010.
What services are included with the outsourced legal bill review program?
· Sample audit of paid legal bills to determine the present amount (if any) of overbilling
· Develop/Revise Litigation & Billing Guidelines to mirror lawyers’ ethical and legal duties
o Assist in roll out revised Guidelines to outside counsel by providing letters to use with detailed explanations and examples
o On-site training and calibration of staff on Litigation and Billing Guidelines
· Review of legal bills (in paper or electronic form) for compliance with company Litigation/Billing Guidelines, attorney legal and ethical duties, and generally accepted practices (GAP) for review of legal bills in use in the insurance industry.
· Detailed written explanations given in each legal bill for any reductions taken.
· Monthly management reports focusing on outside counsel compliance with guidelines.
· Quarterly retraining/recalibration of claims staff as needed.
· Unlimited access to John Conlon & Associates by telephone or e-mail for assistance as needed with legal billing issues and questions from staff or outside attorneys.
Legal Points . . . specialists in helping control outside legal costs