Waiver Of Liability

A waiver of liability can protect either the patient or the healthcare provider from financial risk, depending on who signs it, what it's intended for, and whether it’s initiated by the provider or the insurance company. There are two main types of waiver of liability commonly used in medical billing:

1. Patient-Signed Waiver of Liability
2. Provider-Signed Waiver of Liability

1. Patient-Signed Waiver of Liability:

• This waiver is similar to an Advance Beneficiary Notice (ABN) but is used for non-Medicare payers.
• It is a written agreement provided by the healthcare provider to inform the patient that they may be financially responsible if the insurance denies the claim.
• By signing this waiver, the patient acknowledges and agrees to pay for the service in the event of a denial.

2. Provider-Signed Waiver of Liability:

• This is a written agreement initiated by the insurance company and the provider must sign to confirm that the patient will not be billed for the service if the claim is denied.
• Insurance companies typically request this waiver when the provider submits a final appeal for a denied claim.