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Fee for Service Vs Value-based Care: Which Model Delivers Better Outcomes?

The payment systems used in healthcare determine the way doctors attend to patients and their priorities. Fee for Service Vs Value-based Care is the fundamental split in the American healthcare payment. One compensates for the volume of the procedure. The other compensates for the clinical results. Fee-for-service establishes economic motives for executing additional procedures regardless of medical necessity. Value-based care rewards health providers who keep their patients healthy and, at the same time, spend less on patients. This basic difference impacts appointment duration, treatment approaches, and patient outcomes over time. How Fee-for-Service Actually Works The providers are paid per test, procedure, and office visit in a fee-for-service model. When a physician orders more diagnostic tests, he is paid more than the physician who orders fewer tests. This health insurance model formed the present healthcare system. It is high cost, discontinuous delivery, and focuses on curi...

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