Which payment system allows for an additional payment for particularly high-cost patients?

Prepare for the HFMA Business of Health Care Test. Study with flashcards and multiple choice questions, each question offers hints and explanations to boost your confidence. Ace your exam!

The outlier provision is designed to provide additional financial support for providers treating unusually high-cost patients. In healthcare payment systems, particularly within the framework of prospective payment systems like diagnosis-related groups (DRGs), standard payments are made based on expected costs for certain patient conditions. However, when a patient's care exceeds a specified cost threshold, the outlier provision kicks in to ensure that the provider is compensated for the unexpected, higher expenses associated with that patient's treatment.

This system is crucial for ensuring that providers can afford to deliver care to patients with complex or severe conditions without facing financial loss, which can occur when actual costs substantially surpass the predefined payment amounts. Other payment systems, such as capitation, fee-for-service, and retrospective payment, do not specifically address the additional costs incurred in high-cost scenarios in the same way, making the outlier provision the correct answer in this context.

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