The Pros And Cons Of Capitation In Healthcare

266 Words2 Pages
Based on what I read about capitation is when providers accept pre-established payments for providing health care services to enrollee's over a period of time which is usually about a year. During this year if the provider provides services that cost less than the capitation received they gain a profit this would be the biggest pro. But the con with capitation is if the services provided cost more than the capitation amount the provider loses money. As for fee-for-services plans the provider is reimbursed for the health care services that were rendered. If the health care services fees increase so will the reimbursement. So the more patients the provider sees as well as, the more services provided the more compensation. One of the major cons