Capitation vs. Fee-for-Service Models

Capitation vs. Fee-for-Service Models

Discuss the differences between Capitation and Fee-For-Service models that compensate physician services.  Include a detailed account of the benefits and risks of having these physician compensations types and what is your recommendation for one vs. the other? Utilize a minimum of two scholarly and/or peer-reviewed sources that were published within the last five years.  All sources must me documented in APA style, as outlined in the Ashford Writing Center.

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The two main means of compensating health providers for their services are capitation and fee-for-services models. Fee-for-services models involve compensating the health providers an established amount for each service provided to an individual. Conversely, capitation is a population-based payment approach where health providers are paid a set amount for a period based on the number of patients associated with the health provider.

The benefits of implementing the fee-for-services is that…………..

APA

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