Fee For Service Or Traditional Indemnity Plans

1601 Words7 Pages
A(1). Fee-For-Service or Traditional Indemnity plans are uncommon but still used. Payment is rendered for services provided. Traditional Indemnity plans in general have no provider network and a patient can see a specialist without a referral. If a patient uses an FFS plan, the patient would pay the provider for medical care provided. If the medical care provided is covered by the plan. The insurance company would then reimburse the patient according to the guidelines stated in the policy or the UCR’s “Usual, Customary, and Reasonable Fees.” (“Private-Fee-For-Service Plans,” CMS.gov, 3/16/2012). Key benefits of a Traditional Indemnity or Fee-for-Service plan include no in network physicians or health care providers and the patient may see any physician or seek health care services at any healthcare facility. The patient or client can also seek treatment from a specialist without a physician referral. Fee-for-Service plans are the most flexible plans for choosing a healthcare provider and health care facility. However, Traditional Indemnity plans are traditionally the most expensive plans offered by Health Insurance companies to customers. Insurance companies typically will not reimburse one hundred percent of the amount paid out of pocket, deductibles must be met by the patient before co-payment or reimbursements are issued by the insurance company, and the patient is liable for all payments out of pocket until reimbursement is issued. A(2). Managed Care or prepaid health

More about Fee For Service Or Traditional Indemnity Plans

Open Document