What is non-capitation?

Answer 1

Non-capitation refers to a payment model in healthcare where providers are reimbursed for each service rendered rather than receiving a fixed amount per patient (capitation) regardless of the number of services provided. This model incentivizes providers to offer more services, as their revenue directly correlates with the volume of care delivered. Non-capitation can be seen in fee-for-service arrangements, where each test, procedure, or consultation is billed separately. While it may enhance access to care, it can also lead to overutilization and higher healthcare costs.