Healthcare

: Specifications : 1 Page , 1 Source , APA Style: row Describe `capitation` and how it differs from the `fee for service` method of payment . What trespass has it had on providers and managed care companiesFee For Service (FFS ) is a finance mechanics in which the persevering pays for the work depending on the amount of services provided and the rate the physician has setup . It is the most common condition of reimbursing the physician . However , this system has a disadvantage . nearly physicians may spend minimal time with each patient br so that they are able consult a greater summate of patients (Drossos 2002Capitation is a method of providing compensation to the physician depending on the health needs of the population . The compensation is unyielding before hand . Depending on age , sex , and abode status the amount is calculated . Physicians would be spending much time with each patient , as they are non receiving any incentive to consult a greater numerate of patients . As the health status of the each and every genus Phallus of the population is not pre-determined , the physician would be receiving a miscellaneous bag , containing some(prenominal) healthy and unhealthy patients (Drossos , 2002Studies have shown that both these systems have impacted providers and managed care organizations in different slipway . In Utah the state transformed the means of providing psychic for about 50 of the population from a FFS system to a capitation system . The study showed that there were important effects on the manner in which the services were utilized and also on the mental heath status of the population (Manning , 1994Another study was conducted by Shrank et al (2005 ) to determine the manner in which the statistics changed following shifty from a FFS to a Capitation financing mechanism in a managed care organization . The study showed that during this shift (that was in 1997 to 1998 , the number of patients seeking cataract surgical procedure had reduced . However , there was no significant drop in the number seeking non-cataract surgery .

As cataract is an elective surgery , physicians that are offered better incentives would be performing more number of such surgeries . However this did not occur in the case of non-elective surgeries , as the physicians were not provided incentives (Shafrin , 2006ReferencesDrossos , A (2002 , Health Economics Analysis : Fee For Service vs Capitation , Retrieved on July 22 , 2007 , from Alex Drossos .Com Website HYPERLINK hypertext transfer protocol /www .alexdrossos .com /downloads /FFSCapitation .pdf http /www .alexdrossos .com /downloads /FFSCapitation .pdfManning , W (1994 , Capitation vs . fee-for-service for mental health services : the Utah Medicaid experience AHSR FHSR Annu support Abstr Book , 11 , 108 . HYPERLINK http /gateway .nlm .nih .gov /MeetingAbstracts /1 .html http /gateway .nlm .nih .gov /MeetingAbstracts /1 .htmlShrafin , J (2006 , Fee for service vs . capitation : How pecuniary incentives affect medical service provision , Retrieved on July 22 , 2007 from Healthcare Economist Web site : HYPERLINK http /-economist .com /2006 /12 /04 /fee-for-service-vs-capitatio n-how-financial-incentives-affect-medical-service-provision http /-economist .com /2006 /12 /04 /fee-for-service-vs-capitation -how-financial-incentives-affect-medical-service-provision...If you want to get a ample essay, order it on our website: Ordercustompaper.com

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