Question

If a managed care insurance plan uses capitation to pay for health care, what does this mean

Answer 1

It means that a flat monthly fee for each subscriber in their practice and they provide all necessary primary care for that fee.

Explanation:

The payment that is given by the health care service providers.  is Capitation. It is the payment that is given for any person who are registered with them provided they fall sick or not. The age and status of the person's health decides the amount of payment.

The amount utilization from this scheme over a particular period of time also decides the payment.The things that are considered in capitation includes age, gender status of the health,socioeconomic status,etc. This helps in utilizing the amount for the services provided by the primary care centers.