Which of the following is NOT a characteristic of a capitated payment model?

Prepare for the Highmark Exam 1 with comprehensive study materials. Answer multiple choice questions, each with hints and explanations, to get ready for your examination!

In a capitated payment model, providers receive a fixed payment for each enrolled patient regardless of the number of services delivered. This structure creates a predetermined budget for patient care, which allows for predictable healthcare costs for payers and shifts the responsibility of managing care onto the providers.

The essence of capitation is that it promotes efficiency and encourages providers to focus on preventive care and overall patient health rather than the volume of services performed. This approach can lead to better health outcomes and cost savings since providers are motivated to keep their patients healthy to avoid costly interventions.

Therefore, the correct answer highlights that payments in a capitated model are not dependent on the number of services delivered, which distinguishes it from fee-for-service models where providers are compensated for each individual service provided.

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