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HMO contracting: know your costs.

S Astle, R Roth

    Caring : National Association for Home Care Magazine
    |June 9, 1987
    PubMed
    Summary
    This summary is machine-generated.

    Sophisticated cost accounting and patient information systems are essential for Health Maintenance Organization (HMO) contracting. Implementing these systems enables agencies to make informed financial decisions in future price-based payment environments.

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    Area of Science:

    • Healthcare Management
    • Health Economics
    • Information Systems

    Background:

    • Health Maintenance Organization (HMO) contracting necessitates a thorough understanding of patient-related expenditures.
    • Agencies face increasing pressure to make competitive financial decisions within evolving healthcare payment models.

    Purpose of the Study:

    • To highlight the critical need for advanced cost accounting and patient information systems in HMO contracting.
    • To emphasize the importance of these systems for agencies navigating price-based payment environments.

    Main Methods:

    • The study emphasizes the conceptual need for sophisticated systems.
    • It reviews the implications of cost accounting and patient data management for financial strategy.

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    Main Results:

    • Agencies require robust systems to accurately identify and forecast patient costs.
    • Informed financial decision-making is crucial for competitiveness in future payment models.

    Conclusions:

    • Implementing advanced cost accounting and patient information systems is vital for agency success in HMO contracting.
    • These systems are valuable assets for agencies transitioning to future price-based payment environments.