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Which payment method for a health claim settlement is typically made directly to the provider of the services?

a. Settlement
b. Fee-for-service
c. Premium payment
d. Prepaid

User Pragun
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1 Answer

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Final answer:

In the fee-for-service payment method, health care providers are directly reimbursed for each service provided, which is the method typically used for settling health claim payments to providers.

Step-by-step explanation:

The payment method for a health claim settlement that is typically made directly to the provider of the services is fee-for-service. In this system, the medical care providers are reimbursed for the specific services they provide to patients. This contrasts with arrangements such as health maintenance organizations (HMOs), where providers are paid a fixed amount per enrolled patient, regardless of the number of services each patient receives.

A key component of insurance policies is the deductible, which is the amount policyholders must pay out-of-pocket before the insurance starts to cover expenses. Understanding these terms helps to navigate health insurance plans and anticipate how claims will be processed and paid.

User John Tribe
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