Introduction:

Creating a rental price option involves setting up pricing structures for various rental periods and conditions, tailored to payer and billing requirements. This setup enables automated invoice generation.

Follow the steps below to create a rental price option for your items.

To create a price option, go to the Management section and navigate to Billing Setup > Pricing. From here, you can either edit an existing price option or add a new one. Please note that you must have the necessary user permissions to perform this action.

When creating a new price option, choose Type = Rental. This will prompt you to complete additional fields specific to rental pricing.

The Interval From and To fields specify the billing periods for your rental. For example, with a CPAP rental, you may have different price options for each month, along with attributes such as modifiers that will automatically be applied to your claim.

Example: You would create three price options with the following rental intervals. Invoices will be automatically generated, and the appropriate price option will be selected based on the rental period:

Lifetime: To generate rental invoices with no expiration, enable the Lifetime option. This will set the rental period to continue indefinitely, instead of specifying an end date.

The Cycle field allows you to specify how often the rental period repeats (e.g., Daily, Weekly, Monthly). Choose the appropriate cycle based on your billing requirements.

When selecting a Daily Cycle for your rental, additional options are available to customize how invoicing is generated. These options allow for flexibility in how service charges are applied and when invoices are created.

The Split Service Line feature, when enabled, creates individual service line charges for each date of service within the rental’s date span. This option is useful when you need to break down the rental into daily increments on a single invoice.

If you want the rental to automatically conclude at the end of the rental period, you can enable the Purchase After option. This setting completes the rental without generating any further invoices. Once the rental period ends, no additional charges will be applied, and the system will stop looking for other rental or purchase options.

This option is useful if the rental the billing stops after the agreed rental term.

The Generate Purchase Invoice option enables you to automatically create a purchase invoice at the end of the rental period. If this option is selected, you can specify the charge amount, any allowed amounts, and the modifiers required for the purchase invoice. This is particularly useful if the rental item is intended for purchase at the end of the rental period, allowing you to generate an invoice for the purchase automatically.

The Service Line Qty Multiplier adjusts the quantity on the service line to reflect the total number of days in the rental period. This can be helpful when the quantity needs to correspond with the number of days being billed.

You can specify when the invoice will be created based on the following options:

For Daily Cycle Rentals, the billing is automatically set to Bill in Arrears by default. This means that invoices are generated after the rental period ends, according to the specified timing for invoice creation. Bill in Arrears means that an invoice is generated after the rental period has ended, rather than at the beginning of the period. For example, if you set the rental period to span 30 days, the invoice will not be generated until after the 30-day period concludes.

When selecting a Weekly or Monthly Cycle for your rental, several options are available to customize how invoicing is generated. These options provide flexibility in how service charges are applied and when invoices are created. Whether you need to adjust the billing cycle, specify date spans, or enable purchase options, these settings help tailor invoicing to your needs.

By default, the system generates invoices based on the anniversary date, using the From - To date of service. However, you can enable the Span Date option, which allows the system to span the dates across the rental period. This means that the date of service will reflect the full range of dates within the selected rental period, rather than being based on a single anniversary date.

When Bill in Arrears is enabled, invoices will be generated at the end of the rental period, rather than at the beginning. For example, if a weekly rental spans several days, the invoice will be created after the period ends, ensuring accurate billing for the entire period.

If you want the rental to automatically conclude at the end of the rental period, you can enable the Purchase After option. This setting completes the rental without generating any further invoices. Once the rental period ends, no additional charges will be applied, and the system will stop looking for other rental or purchase options.

This option is useful if the rental the billing stops after the agreed rental term.

The Generate Purchase Invoice option enables you to automatically create a purchase invoice at the end of the rental period. If this option is selected, you can specify the charge amount, any allowed amounts, and the modifiers required for the purchase invoice. This is particularly useful if the rental item is intended for purchase at the end of the rental period, allowing you to generate an invoice for the purchase automatically.

When you create a rental price option and toggle the capped rental option, you can specify an "interval end period." This means that NikoHealth will continue to track the rental billing for the specified period, but no additional invoices will be generated.

For example, if you set up a rental option with:

NikoHealth will continue tracking the billing period without generating invoices until the 60-month mark is reached.

This feature is especially useful for medical equipment like oxygen, where you might want to continue to track the rental periods after the initial rental billing ends, but without continually creating invoices.