Question

The term used for the authorization to an insurance company to make payment directly to the physician is

A. reasonable fee.
B. fee schedule.
C. assignment of benefits.
D. fee compliance.
E. accepting fees.

Answer 1

The authorization for insurance payment to be made directly to the physician is known as an assignment of benefits. It is a common practice in health insurance, differing from the fee-for-service or HMO models of payment.

Step-by-step explanation:

The term used for the authorization to an insurance company to make payment directly to the physician is C. assignment of benefits. This term refers to a formal agreement where a patient allows their health insurance payments to be made directly to a medical service provider.

This contrasts with systems like fee-for-service or health maintenance organizations (HMOs). In the fee-for-service system, providers are remunerated per service rendered, whereas HMOs receive a fixed amount per enrolled individual, not based on the number of services.