Fee for service
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Fee-for-service is a standard business model where services are unbundled and paid for separately.
In Health insurance and the health care industry fee-for-service involves when doctors and other health care providers receive a fee for each service such as an office visit, test, procedure, or other health care service[1]. Fee-for-service health insurance plans typically allow patients to obtain care from doctors or hospitals of their choosing[1], but in return for this flexibility they may pay higher copayments or deductibles[2]. Patients frequently pay providers directly for services, then submit claims to their insurance company for reimbursement[2].
References
- ↑ 1.0 1.1 FEHB Glossary. Retrieved May 31, 2006.
- ↑ 2.0 2.1 InvestorWords.com: "fee-for-service". Retrieved May 31, 2006.