Final answer:
The professional liability of healthcare providers is known as medical malpractice, and it is a key component of healthcare law ensuring accountability for care standards. Healthcare in the U.S. has evolved from a fee-for-service model to a blend of fee-for-service and managed care, aiming to address issues such as moral hazard.
Step-by-step explanation:
The professional liability of healthcare providers in the delivery of care to patients is called medical malpractice. This is a critical aspect of healthcare law where health care professionals are held accountable for any harm that comes to patients through neglect or omission of health services that fall below the standards of practice. Legal considerations such as the Health Insurance Portability and Accountability Act (HIPAA) enforce the protection of patient information, complicating the balance between patient privacy and the need for public health safety.
Traditionally, healthcare in the United States has been managed through a fee-for-service model, where providers are paid for each service they perform. In contrast, Health Maintenance Organizations (HMOs) reimburse providers with a fixed amount per patient, regardless of the number of services rendered, thereby potentially mitigating moral hazard as it provides less incentive for over-provision of services.
The dynamic of fee-for-service vs. managed care models reflects the ever-evolving landscape of healthcare economics, which also involves the concepts of adverse selection, Medicare, Medicaid, and the Patient Protection and Affordable Care Act (ACA or Obamacare). These influence how healthcare is accessed, paid for, and how the insurance market operates.