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  • Title: Integrating payer and provider risk through capitation.
    Author: Barth SM.
    Journal: Manag Care Q; 1997; 5(1):19-24. PubMed ID: 10164645.
    Abstract:
    Capitation payment mechanisms promote conservative use of medical resources by transferring risk to the decision maker, the physician. However, there is another view of capitation: defining common risk between provider-driven organizations (i.e., physician/hospital organizations (PHOs) or integrated delivery systems (IDS), and risk-managing entities such as HMOs or insurance companies. This article discusses a strategy to align provider and risk manager incentives to share the risks and rewards for a total book of business or population.
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