The method of paying an organization whereby the third-party payer establishes the amount of money that will be paid for the delivery of a particular service before offering the services to the client is called:
A) Retrospective reimbursement
B) Prospective reimbursement
C) Fee-for-service
D) Capitation

Question

Quizplus · Accepted Answer

Prospective reimbursement is the payment method where the third-party payer determines the amount to be paid for a specific service before the service is provided to the patient. This type of reimbursement is often used for inpatient hospital care. Retrospective reimbursement, on the other hand, is payment made after the services have been provided based on the actual cost of the services. Fee-for-service involves payment for each specific service provided to the patient, while capitation involves payment based on the number of patients served by a healthcare provider or organization, rather than the services provided.

The Method of Paying an Organization Whereby the Third-Party Payer