Comparing Fee-For-Service and Capitation Revenue Models in Dental Practice
Given the current controversy around FFS and capitation, this dentist explores the incentives and operational aspects of both economic models.
The two primary revenue streams for dental practitioners are fee-for-service and capitation. Given the current controversy around these business models, there now exists an opportunity to explore the terminology, incentives, and operational aspects of both economic models. Another important subject to explore is if these reimbursement methods are exclusive or mutually compatible in the general dental practice setting.
Definitions of fee-for-service and capitation economic systems
Fee for service: This business model is based on the concept that a particular clinical service is rendered to a patient and the dental practice is compensated for that service based on a set fee associated with the procedure. An example is placement of a sealant with a reimbursement of $30...
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The two primary revenue streams for dental practitioners are fee-for-service and capitation. Given the current controversy around these business models, there now exists an opportunity to explore the terminology, incentives, and operational aspects of both economic models. Another important subject to explore is if these reimbursement methods are exclusive or mutually compatible in the general dental practice setting.
Definitions of fee-for-service and capitation economic systems
Fee for service: This business model is based on the concept that a particular clinical service is rendered to a patient and the dental practice is compensated for that service based on a set fee associated with the procedure. An example is placement of a sealant with a reimbursement of $30...
Click Here to Read More