ABSTRACT

Introduction Thus far in this book, we have discussed cost-based and charge-based healthcare payment. Both of these types of payment systems can be contractual. We have already encountered a number of concepts that go beyond either cost-based or charge based. Prospective payment systems (PPSs) and fee schedule payment systems were discussed in two previous books that are part of this healthcare payment series. For our purposes, the term contractual is used in a very general sense, basically to distinguish:

◾ Contractual payment agreements and ◾ Statutory payment laws and regulations.