Forum for Healthcare Freedom December 15, 2021
Once touted as the antidote for rising healthcare costs and a method of freeing doctors to “focus on the patient” and not the paperwork, the “innovative” capitated health plans of the 1990’s are now virtually nonexistent, with participants quietly shifting back to the Fee-for-Service model that capitation was slotted to replace.
For those that didn’t live through this era a definition is in order:
“…capitation, or the payment by managed care organizations (MCOs) to providers of a fixed annual or monthly lump sum per patient. If a provider organization could deliver health care services to a patient that cost less than the lump sum, it made a profit; otherwise, it lost money. This is provider financial risk at the...
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