President Clinton's 1998 budget will not freeze health maintenanceorganization payments, US Health Care Financing Administration head Bruce Vladek has said. There will be no payment drop in any region but there will be a $350 floor for the monthly capitation rate, which would bring up the plans now getting lower payments.
He noted that there would be an attempt to eliminate the geographic inequities in the current system by blending local and national payment formulas. The percentage amount for coverage of the estimated average fee-for-service costs, now set at 95%, will drop to 90% in the year 2000.
Components of managed care payments that are supposed to go to medical schools, academic medical centers and hospitals getting disproportionate share payments for the poor and uninsured will no longer go to the managed care plans, but will be put into a special fund to support medical education and care for the poor.
This article is accessible to registered users, to continue reading please register for free. A free trial will give you access to exclusive features, interviews, round-ups and commentary from the sharpest minds in the pharmaceutical and biotechnology space for a week. If you are already a registered user please login. If your trial has come to an end, you can subscribe here.
Login to your accountTry before you buy
7 day trial access
Become a subscriber
Or £77 per month
The Pharma Letter is an extremely useful and valuable Life Sciences service that brings together a daily update on performance people and products. It’s part of the key information for keeping me informed
Chairman, Sanofi Aventis UK
Copyright © The Pharma Letter 2024 | Headless Content Management with Blaze