0 a fee-for-service payment is one in which a person pays a particular amount of money for medical treatment according to the type of treatment they receive:
The physicians-contract-bound to one of the 19 health insurance agencies-are reimbursed on either a fee-for-service or a flat-rate basis, depending on the service.
Consider solo primary care practitioners, paid fee-for-service, who examine patients, diagnose problems, prescribe medicine, provide simple treatment, and refer patients to specialists.
The main conclusion so far is that the provision of services must be uncoupled from the fee-for-service-based income system of specialists.
Physicians in such settings usually work as private practitioners and are paid by patients on a fee-for-service basis.
Physicians entering the profession in the 21st century do not expect to practice fee-for-service medicine.
This could explain why more clinical providers, particularly doctors, than others supported the fee-for-service method and the mixed method.
While the combined capitated fee-for-service system might create the best possible set of incentives, it is not the best instrument to control costs (22).
These policies created important vested interests in a pluralist financing structure and reinforced doctors' preferences for fee-for-service payment.