The Role and Benefits of Capitation in Healthcare

Medvisioninc17 Oct, 2024Health

In the healthcare industry, the capitation system plays a unique role for businesses like managed care organizations, Health Maintenance Organizations (HMO), Independent Practice Associations (IPA), and payer organizations. Since medical services can often be pricey, organizations that pay for healthcare services naturally want to minimize these costs. And by establishing a capitation fee system, payer organizations can minimize medical services expenses and increase the focus on patient care.