Fee for Service Care Versus Managed Care

Powerful Essays
Topics: Health care
Some researchers feel that our society has unrealistically demanded the health care system to maximize quality while lowering the costs of health care services. That if we demand this change, there is no way we are realistically considering the cost of health care. I understand that everyone wants to receive the best therapy without paying a large amount of money. When you think about this idea, this plan would take time to execute. One of the cons of living in a country like the United States is that we citizens expect to have things right when we want them. I totally agree that we deserve the best services at the lowest prices. But how should we go about executing this plan? We will have to balance the plan between two approaches, the fee-for-service care and managed care. As well as their similarities and differences, these health care styles have their up and their downs. So to make the American people happy, we would have to find an intersection that could increase the quality given and the lower the cost being paid by the client. We, as citizens, should be entitled to these conditions because many people cannot afford these therapy sessions that are terribly needed. By finding this meeting ground, we will set the stage for a better health care system and possibly a healthier people. Until the 1980s, mental health services were generally purchased under traditional fee-for-service approach. In this way, practitioners controlled both the supply and the demand sizes of service delivery (Cummings, 1995). The practitioners would determine what the client needed, how and when to treat them, and how long therapy would last. Individual practitioners billed insurance carriers on a fee-for-service basis, and there was little encouragement for practitioners to reduce costs by increasing their efficiency and effectiveness. The numbers of healthcare professionals entering the marketplace was large, so the general idea was that fees would plummet. Contrarily, the


References: Acuff, C., Bennett, B.E., Bricklin, P.M., Canter, M.B., & Knapp, S.J. (1999). Considerations for ethical practice of managed care. Professional Psychology: Research and Practice, 30(6), 563-575. Cooper, C.C., & Gottlieb, M.C. (2000). Ethical issues with managed care: challenges facing counseling psychology. The Counseling Psychologist, 28(2), 179-236. Cummings, N.A. (1995). Impact of managed care on employment and training: a primer for survival. Professional Psychology: Research and Practice, 26(1), 10-15 Davis, S.R., & Meier, S.T. (2001). The elements of managed care: a guide for helping professionals. Belmont, CA: Brooks/Cole, Cengage Learning. Eddy, D.M. (1997). Balancing cost and quality in fee-for-service versus managed care. Health Affairs, 16(3), 162-173. Karon, B.P. (1995). Provision of psychotherapy under managed health care: a growing crisis and national nightmare. Professional Psychology: Research and Practice, 26(1), 5-9.

You May Also Find These Documents Helpful

  • Powerful Essays

    Managed Care

    • 4818 Words
    • 20 Pages

    At the Intersection of Health, Health Care and Policy Cite this article as: E Friedman Managed care, rationing, and quality: a tangled relationship Health Affairs, 16, no.3 (1997):174-182 doi: 10.1377/hlthaff.16.3.174 The online version of this article, along with updated information and services, is available at: http://content.healthaffairs.org/content/16/3/174.citation For Reprints, Links & Permissions: http://healthaffairs.org/1340_reprints.php E-mail Alerts : http://content.healthaffairs…

    • 4818 Words
    • 20 Pages
    Powerful Essays
  • Better Essays

    Managed Care

    • 3374 Words
    • 14 Pages

    society's health care. Everyone wants to find a solution, but no one has been able to come up with one yet. Many different things have been tried, but none have put a cease to the exorbitant costs, which most believe to be the main problem. Out of everything tried, the most recent and popular system is known as managed care. Managed care is the most common form of health insurance in the United States, and provides more a cost efficient coverage than paying a fee-for-service charge. However…

    • 3374 Words
    • 14 Pages
    Better Essays
  • Better Essays

    Managed Care

    • 1382 Words
    • 6 Pages

    States of America, and they all need effective, affordable and accessible health care coverage and services. Within decades, the scope and cost of health care has changed dramatically with increased complexity and significance to the healthcare market. The purpose of this paper is to analyze the managed care industry and examine how organizations try to control costs. Managed Care Organizations is a partnership of health care providers whose purpose is to contract with an institution (Crosson & Tollen…

    • 1382 Words
    • 6 Pages
    Better Essays
  • Best Essays

    Managed Care

    • 2804 Words
    • 12 Pages

    Managed Care Brooke McMichael University of Scranton Abstract This paper examines the benefits and issues with managed care. The benefits include patients receiving preventative care, lower premiums, lower costs of prescriptions, fewer, unnecessary procedures, and less paper work. Some issues with managed care include limitation on doctors that patients can choose from, restricted coverage, the possibility of under treatment, and compromised privacy. Managed care effects nursing by causing significantly…

    • 2804 Words
    • 12 Pages
    Best Essays
  • Better Essays

    Managed Care

    • 1408 Words
    • 6 Pages

    Running head, MANAGED CARE Cynthia Norris Ashford University Tricia Devin MHA 614: Policy Formation & Leadership in Health Care Organizations Sunday, July 28, 2013 The focus on this paper is to show how analyzed research on managed care and, the issues of rising exposure to health care costs is threating the…

    • 1408 Words
    • 6 Pages
    Better Essays
  • Good Essays

    Managed care

    • 906 Words
    • 4 Pages

    MANAGED CARE Managed health care is a system of health care delivery managed by a company aiming mainly at quality/value cost effective services provided to patients. It has been introduced with an intention to avoid paying for unessential facilities and services directly to physicians. It helps in forming an intermediate between patients and physicians in such a way that health insurance organizations pay the physicians from the premiums paid by patients to insurers for the services provided…

    • 906 Words
    • 4 Pages
    Good Essays
  • Better Essays

    Managed Care

    • 915 Words
    • 4 Pages

    Managed Care Managed care refers to a method of healthcare that strives to restructure health services, as well as ensuring cost-effective healthcare. This kind of care aims at ensuring a definite benchmark of care, extent of performance, and cost management. It guarantees this by ensuring a thorough supervision, monitoring, as well as counseling. Moreover, certain sorts of managed care programs aim to support members to live healthy by preventing diseases. Ideally, managed care covers partly or…

    • 915 Words
    • 4 Pages
    Better Essays
  • Good Essays

    In the world of the health care industry, health care providers have become progressively reliant on managed care contracts with managed care organizations to promote their facilities. A strong component needed for any managed care contract is the provider’s compensation for services. First, the contract should vividly discuss how and when the provider receives payment. Also, the provider should have a clear understanding of the managerial requirements for submitting claims and the timing of getting…

    • 150 Words
    • 1 Page
    Good Essays
  • Better Essays

    Evolution of Managed Care

    • 1125 Words
    • 5 Pages

    EVOLUTION OF MANAGED CARE Evolution of Managed Care Name University of Phoenix Evolution of Managed Care Managed Care refers to a program that evaluates, coordinates and makes possible the care of individuals without the full financial risks involved. The goal of managed care was to meet the needs of select group of individuals and families by arranging their health care needs. One example would be employees or individuals paid a set fee to physicians for their services. These fees…

    • 1125 Words
    • 5 Pages
    Better Essays
  • Best Essays

    Managed Care History

    • 4302 Words
    • 18 Pages

    The History and Types of Managed Health Care Plans and Other Insurers Managed care plans and other insurers: By better understanding the past and present of managed care plans and other insurers in the USA, we can make well-grounded statements about its challenges and proper ways of answering them; furthermore, having a health care plan can help to help improve your chances of getting medical treatment to control and reduce the risk of sickness and disease. Introduction Discussion I. History…

    • 4302 Words
    • 18 Pages
    Best Essays