What does it mean for a provider to accept assignment on a claim?

When a provider accepts assignment on a claim, it signifies their agreement to accept the payment amount specified by the insurance company as full payment for the services rendered. This means that the provider cannot charge the patient for any additional fees beyond what the insurance has agreed to pay. Accepting assignment helps streamline the billing process for both the patient and the provider, as the provider becomes responsible for collecting only the patient’s applicable co-pays or deductibles, rather than attempting to bill the patient for any balance not covered by the insurance.

This practice can be beneficial for patients, as it often results in lower out-of-pocket costs and provides them with clearer expectations regarding their financial responsibilities.