What type of charges may apply to managed care approaches?

Prepare for the TAMU PHLT313 Health Care and Public Health System Exam. Study with flashcards and multiple-choice questions, each with hints and explanations. Get ready for your exam!

Managed care approaches often utilize a combination of payment mechanisms that can include discounted fees and capitation payments. Capitation is a payment model where healthcare providers are paid a set amount for each enrolled patient, per period of time, regardless of the number of services provided. This approach incentivizes providers to offer efficient care and focus on preventive services, as they benefit from keeping patients healthy and reducing the need for costly interventions.

Discounted fees refer to the arrangements made between managed care organizations and healthcare providers where the providers agree to accept lower rates than their standard charges in exchange for a guaranteed patient volume from the managed care plan. This allows managed care organizations to control overall healthcare costs while ensuring patients have access to a network of providers.

In contrast, flat monthly fees regardless of usage, variable rates based on specific services used, and fixed prices for all services do not reflect the core characteristics of managed care. Managed care's emphasis on controlling costs and encouraging preventive care is best represented by the use of discounted fees and capitation payments.

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