week 1 response
· Specific Rules for Discussions
· Discussion response - your response to the discussion question should be between 150 - 300 words.
· Peer responses - Must be a minimum of 100 - 200 words and a maximum of 300 words for peer responses.
· Must provide a minimum of at least one (1) reference in your discussion and peer responses.
· There are two (2) required peer responses due per week.
Nasim Karimian Sichani posted Jan 16, 2016 6:35 PM
a) You just started your new job as a Health Services Manager at a local hospital. The CEO wants your opinion on the advantages and disadvantages of various third-party reimbursement arrangements. Pick one of the reimbursement arrangements discussed in this week’s reading and discuss ONE advantage and ONE disadvantage.
I would choose Capitation. Capitation affects all aspects of medical practice. It can clarify the boundaries between the primary care physicians and their consulting subspecialist colleagues so therefore many different types of payers prospectively individualize payment for health care. Capitation also lowers the risk of patients being over treated since physicians committed to the goal of reducing the costs, should only be prescribing necessary treatments.
There are some disadvantages to Capitation as well. Health care providers could lose earning that they could have received treating patients that require more treatments. As for the patients, a possibility of being taken in by physicians, especially if the patient is known to have a complex health issue because they do not want to lose earning by taking those cases. Taking complex cases will be paid the same amount for a patient that has a simple medical condition as to a patient with multiple health problems.
Lameck, A. (n.d.). Advantages & Disadvantages of Capitation Payments. Retrieved January 16, 2016, from
http://www.ehow.com/info_12185015_advantages-disadvantages-capitation-payments.html
Goodson, J., Bierman, A., Fein, O., Rask, K., Rich, E., & Selker, H. (n.d.). The Future of Capitation: The Physician Role in Managing Change in Practice. Retrieved January 16, 2016, from
http://www.ncbi.nlm.nih.gov/pmc/articles/PMC1495203/
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· Week 1
Savannah Martin posted Jan 13, 2016 9:42 PM
A. Reimbursement Arrangement
Capitation is a reimbursement arrangement where a health care organization receives a fixed amount based on a projection. This arrangement can be extremely risky and unpredictable for a health care organization because it is solely based on the cost of care projected to be used by the covered population. For this same reason, it can also be very financially rewarding if the projection turns out to be accurate.
Source: Nowicki, Michael. ( © 2008). The financial management of hospitals and healthcare organizations, fourth edition. [Books24x7 version] Available from http://common.books24x7.com.ezproxy.umuc.edu/toc.aspx?bookid=26367.