Final answer:
Under a fee-for-service system, providers bill patients for services not covered by their insurance cap rate.
Step-by-step explanation:
Providers bill patients for services not covered by the cap rate under a fee-for-service health financing system. In this setup, providers are reimbursed based on the specific services they provide, as opposed to health maintenance organizations (HMOs) where reimbursement is based on the number of patients cared for, regardless of the number or cost of services provided. Situations may arise where a patient's insurance does not cover certain procedures or treatments; in these instances, the provider will directly bill the patient for those services.