When physicians are paid a certain amount to treat a group of patients in their plan, it is called

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Capitation is a payment model where physicians are paid a fixed amount per patient for a specified time period, regardless of the amount of services provided. This incentivizes physicians to focus on preventive care and reducing overall healthcare costs for the group of patients they are responsible for. Net profit refers to the amount of money a business makes after deducting expenses. HMO (Health Maintenance Organization) is a type of healthcare plan that typically requires patients to choose a primary care physician and receive all care within the HMO network. Per diem refers to a daily rate of payment.

When Physicians Are Paid a Certain Amount to Treat a Group