155k views
2 votes
Why have many insurers replaced retrospective reimbursement methods with prospective payment methods

1 Answer

1 vote

Answer:

have more control over financial risk

Step-by-step explanation:

The main reason for this switch was to be able to have more control over financial risk. This is because, in a prospective payment system, most of the risk is moved to the provider's side. This ultimately allows the provider to take the necessary actions in order to control/minimize/or adjust the amount of risk that is present in a specific transaction/scenario.

User Gdaniel
by
4.9k points