How to apply insurance check with added interest payment?

[wjstarck]

What is the recommended method for entering checks from insurance companies where the check contains an additional interest payment because the insurance company was late in paying the claim?

[jordansparks]

Well, the interest would go to the dental office rather than to any particular patient, so I would recommend a dummy patient. That means, of course, that a dummy procedure and dummy claim will be needed on that dummy patient.

[Jorgebon]

In our office we see it differently. We consider that the interest is a kind of finance charge for not paying on time, so we just enter what the insurance paid on the claim, including the interest. Then we add an adjustment as "Finance Charge" for the amount of interest paid. We don't assign it to a dummy claim or patient.
Jorge Bonilla, DMD

[jordansparks]

I like that.