Final answer:
Medical care providers can choose not to accept Medicare patients or bill Medicare, which is true. Their choice can be influenced by reimbursement structures, such as fee-for-service, and regulations like those in the ACA.
Step-by-step explanation:
True; medical care providers do have the option not to take Medicare patients or bill Medicare. This decision rests with the providers themselves and is influenced by several factors, including reimbursement rates and regulatory requirements.
In the context of a fee-for-service health financing system, providers are reimbursed for each service they provide, which could create a moral hazard whereby services could be overutilized. However, providers may find the reimbursement rates from Medicare less attractive compared to other insurance providers or private payers, leading some to opt-out of the Medicare program.
Furthermore, the Patient Protection and Affordable Care Act (ACA or Obamacare) introduces regulations that impact how providers operate, potentially influencing their decision to work with Medicare.
Some providers may also attempt to avoid the risk of adverse selection, where they might end up with a disproportionate number of high-risk patients. HMOs, in contrast, provide a capitated payment system where providers are paid per-member-per-month, which can help mitigate the effects of adverse selection by spreading risk across a larger patient pool.