Emdeon Inc., a vendor of revenue cycle management software and claims clearinghouse services, will acquire Chamberlin Edmonds & Associates, which provides specialized insurance eligibility and enrollment services to hospitals, for $260 million.

Based in Atlanta, privately held Chamberlin Edmonds offers proprietary software and outsourced professional staff services to identify eligible patients and enroll them in Medicaid, Social Security disability, state disability, charity care and other community care benefit programs.

The company provides on-site staff to work with a hospital's inpatient revenue cycle management professionals. The company offers software and/or onsite personnel to handle getting coverage for outpatient and emergency patients. A software-only service enables hospitals to search written off accounts for patients who are eligible for coverage. "We receive financial compensation only when we successfully generate benefit approvals and cash for your hospital," according to Chamberlin Edmonds' Web site. The company during the first six months of 2010 had revenue of $46.3 million.

The acquisition will be at least the fourth for Nashville, Tenn.-based Emdeon during 2010. The company previously bought Chapin Revenue Cycle Management LLC, which provides outsourced services; FutureVision Technologies, a vendor of document imaging and management software to digitize and auto-post remittance advice; and Healthcare Technology Management Services, a consultancy for health insurers.

More information is available at chamberlinedmonds.com and emdeon.com.

--Joseph Goedert


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