Question

how do calculate the fee for service in healthcare?

Answer 1

This is known as FFS, which is a payment method where services are charged separately. Each service has a separate fee structure which is paid separately. The increasing number of services increases the total fee. Therefore, the concept is “quality of care” rather than “quantity of care”.

Suppose there are three types of healthcare necessary for a patient – doctor visit, endoscopy, and sugar testing. Their respective fees are $60, $15, and $5. Since there is FFS, these three should be added to get the total fee, (60 + 15 + 5 =) $80. If doctor requires more investigation and testing, the number of services increases that increase total fee as well.