An Overview of U.S. Healthcare Financial Models in the Context of Recent and Projected Economic Trends

Matthew Chase Lustig, MBA

Abstract


Many different U.S. healthcare financial models have been implemented in search of a model that best serves U.S. patients and physicians. Amongst these, three models currently dominate within the United States: FFS (Fee-For-Service), Capitation, and Salary. Although no particular model has proven to be substantially better than the others, there are two major themes. The first theme is a recent trend away from the FFS model towards a model based on value. The second theme is a projected trend towards a restructured FFS model. Trial models fail to definitively predict one trend’s success over the other; however, the large number of trials implies that change is, indeed, the overall trend. Consequently, there is a need for policy makers to better understand these models as well as to analyze these trends on a microeconomic and macroeconomic level.


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