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Related Experiment Videos

Managed care contracting for specialists.

J M Alexander1

  • 1Brown, Rudrick, Freed & Gesmer, Boston, MA, USA.

Healthcare Financial Management : Journal of the Healthcare Financial Management Association
|May 29, 1999
PubMed
Summary
This summary is machine-generated.

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Specialty managed care contracting involves understanding referral sources, costs, and payer needs. Specialists must evaluate payment models like resource-based relative value scale to negotiate optimal agreements.

Area of Science:

  • Healthcare Administration
  • Health Economics
  • Managed Care Contracting

Background:

  • Specialty physicians face increasing demands within managed care environments.
  • Understanding managed care contracting is crucial for financial viability and quality of care.
  • Carve-out and subcapitation agreements require specific financial and operational knowledge.

Purpose of the Study:

  • To elucidate the essential components of specialty managed care contracting.
  • To analyze different payment calculation methods for specialists in managed care.
  • To guide specialists in negotiating effective managed care contracts.

Main Methods:

  • Review of managed care contracting principles.
  • Analysis of three common payment calculation methods: resource-based relative value scale (RBRVS), per-referral basis, and point systems.

Related Experiment Videos

  • Discussion of provider considerations in contract negotiation.
  • Main Results:

    • Specialists must possess knowledge of referral sources, cost structures, and payer requirements.
    • Three distinct payment calculation methods (RBRVS, per-referral, point system) offer different financial outcomes.
    • Understanding these methods is key to successful negotiation.

    Conclusions:

    • Effective specialty managed care contracting necessitates a thorough understanding of financial models and market dynamics.
    • Specialists need to assess their practice's costs and referral patterns to select appropriate payment structures.
    • Informed negotiation leads to better contract terms for providers within managed care systems.