A Guide to Build a Custom Medical Billing Software

by Melissa Clarkson March 8, 2024 Time to Read Blog: 5 minutes

Medical service providers bill their patients for the services they provide. Every diagnosis, treatment, prescription, and administrative service that patients receive must be included in the final bill. Therefore, the invoicing process in hospitals and clinics can be streamlined by learning how to create medical billing software.

By implementing a healthcare billing system, medical facilities can lessen billing errors that annoy patients and healthcare providers. According to a study, eighty percent of US medical bills have errors. Financial disparities arise from either overbilling or underbilling patients.

Let’s go further in the article and explore how to build custom medical billing software for your company and understand the other aspects of medical billing software.

What is Medical Billing Software?

Software for medical billing enables healthcare providers to automate the process of issuing invoices. Medical billing apps interface with electronic health record (EHR) systems to capture all billable services throughout the patient journey, eliminating the risk of human error. Installing a medical billing system will benefit larger hospitals and smaller clinics.

How Does Software for Medical Billing Operate?

Let’s see how patients are billed in a hospital system:

● At the front desk, patients register their visits.

● Healthcare professionals verify their eligibility for filing insurance claims.

● Doctors record the diagnosis and any treatments provided during the consultation.

● The medical staff tagged the patient’s invoice with the relevant medical codes.

● A superbill is provided that lists all medical services along with their corresponding codes.

● The medical professional either files a claim with the insurance company or gives the patient the invoice.

● The claim may be accepted, modified, or denied by the patient’s insurance. Depending on the ruling, medical professionals might have to make changes and resubmit the claim.

● After approval, the billing department documents the amount received and collects the outstanding balance from patients.

● The current status of approved claims and outstanding receivables is reflected in financial records.

Types of Medical Billing System

Healthcare professionals can use any one of three medical billing system types.

Accessible Invoicing Framework

Transparent and open access to patient status is made possible by integrating open medical billing apps with the EHR. It enables medical staff to exchange and access data between various medical departments.

Closed Billing Configuration

A single practitioner can only access information through closed medical billing software. This strategy can be compared to digitizing paper patient charts. Physicians cannot provide billing information to other practitioners under this approach.

Separate Billing System

Only patients can use an isolated billing system. Patients are in charge of keeping track of their appointments and expenses. Patients’ stored information is not accessible to doctors, nurses, or healthcare facilities.

6 Steps to Creating Medical Billing Software

Here, we share the six steps to help you create medical billing software. You may also consider hiring a software developer or a mobile developer who can help you.

1. Conduct a Phase of Discovery

Don’t create an app for medical billing that is difficult for users to use. To make a solid basis for further development work, measure the market, examine rival software, and get input from the intended audience.

2. Specify What You Need

Enumerate the technical needs for the medical billing app after you’ve gotten feedback and results from the initial study. Hire a software developer and provide records of the platforms, third-party services, technology stacks, and functional requirements for the app.

Artificial intelligence (AI) and machine learning (ML) are used in most healthcare services to increase productivity and add cutting-edge features. For instance, you can use AI to enable personalized engagement and integrate a conversational chatbot.

3. Create a Proof of Concept

Before developing the solution, create a proof of concept (PoC). A proof of concept is a blueprint for a design that you can use to solicit quick feedback from users. Use UI/UX best practices to design layouts for a proof of concept that closely resembles the final product’s appearance.

You may also want to show off the PoC’s in-app navigation and basic functionality. Show the proof of concept to all relevant parties and utilize it to solicit input from the intended audience.

4. Create the Software

The next stage of development, which is also the most crucial, starts. To create medical billing software, UI/UX designers, project managers, backend/frontend programmers, and app developers collaborate closely.

5. Testing Before Launch

Test the software extensively to find bugs and other problems before making it available to medical users.

● The software operates according to the intended workflow by creating and running multiple use cases.

● Check for performance problems with the software, especially during periods of high user traffic.

● Gather the test results, assess them, and adjust the software as needed.

● Regression testing is a good way to ensure that new changes don’t break the software and prepare it for production release.

● Software must comply with privacy laws, such as HIPAA, and be certified by regulatory bodies.

6. Software Support and Release

Start the program and watch for any problems during the first few weeks. Ensure your support staff is accessible to help users around the clock. Recall that for a more seamless onboarding experience, you may need to train physicians and medical staff.

Read more on healthcare app development:

Developing a Healthcare App in 2024 – A Complete Guide

Benefits of a Medical Software in Healthcare Centers and Clinics

How Custom Software Development is Revolutionizing Healthcare Sector

Features of Medical Billing Software

Numerous features are available in some medical billing software to automate the invoicing process. Nevertheless, you’ll only require a small number when creating a minimum viable product (MVP).

Process Automation for Billing

By automating most of the process, a hospital billing system seeks to relieve medical staff members of the burden of billing patients. Without human intervention, the software transfers data it collects from one department to another, from patient registration to claim reimbursement. Once billing rules are set up, the app will automatically charge each registered patient with the same medical code.

Friendly User Interface and Customization Possibilities

A functional medical billing app must adhere to the best UI/UX practices, such as using appropriate descriptions for the intended audience. Furthermore, allowing medical staff to personalize billing procedures increases adoption.

Capabilities for Analytics and Reporting

Medical staff can create reports, see patient payment trends, and get valuable insights with the help of reporting features. They give financial and healthcare teams visibility and control over revenue growth, costs, and profitability.

Final Words

Apps for medical billing streamline invoicing procedures to minimize disparities in reimbursement and facilitate timely payment. Medical bills issued with precision and conciseness benefit patients, physicians, and healthcare providers. Using custom medical billing software, you can save time on patient registration, insurance claim processing, assigning medical codes, and other procedures for collecting payment for rendered medical services.

Creating bespoke medical billing applications is prudent for healthcare providers who need flexibility, control, and customized solutions. Therefore, investing in hiring a mobile app developer is beneficial for providing easy medical billing.


Explore the cutting-edge world of app development with Melissa Clarkson and her blogs on the latest trends and industry updates to fuel your tech journey.

Comments are closed.

Recent Articles

Empowering Healthcare Through Mobile Apps: A...

Mobile applications are transforming healthcare industry, and if you don’t...

Top 10 Challenges in Software Development...

“The task of the software development team is to engineer...

How to Boost Retail Sales with...

AI is inspiringly disruptive, and the entire world is experiencing...

Zazz can turn your vision into a reality. Let’s
collaborate to create something groundbreaking!

Creating Memorable digital experiences since 2009.


18 King St E,14th Floor, Toronto, ON M5C 1C4, Canada

San francisco
San Francisco

795 Folsom Street, 1st Floor, San Francisco, CA 94103, USA


800 Boylston Street, 5th Floor, Boston, MA 02199, United States

New York
New York

405 Lexington Avenue, 26th Floor, Manhattan, NY 10174


500 Mercer St, Seattle, WA 98109, USA


Suite 3100, 325 North St. Paul Street, Dallas, TX 75201, United States


Berkeley Square 2nd Floor, Berkeley Square House, London, W1J 6BD, GBR


55 East Monroe Street Downtown, Suite 3800, Chicago, IL 60603, USA

Schedule   Consultation