fee for service (FFS)

What is fee for service (FFS)?

fee for service (FFS) is Method of billing for health services under which a medical practitioner or other practitioner charges separately for each patient encounter or service rendered. Under a fee-for-service payment system, expenditures increase if the fees themselves increase, if more units of service are provided, or if more expensive services are substituted for less expensive ones. This system contrasts with salary, per capita, or other prepayment systems, where the payment to the medical practitioner is not changed according to the number of services actually used.

 

source: A GLOSSARY OF TERMS FOR COMMUNITY HEALTH CARE AND SERVICES FOR OLDER PERSONS. World Health Organization, 2004.

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