A Management Service Organization (MSO) in Healthcare Providers
Support Services Provided by MSOs
- Billing and coding
- Credentialing
- Marketing
Healthcare Provision Modes
Different modes of healthcare provision include:- Fee-for-service system
- Health Maintenance Organizations (HMOs)
A fee-for-service system involves compensating medical care providers based on the cost of services they provide. On the other hand, HMOs reimburse providers based on the number of patients they manage.
Adverse Selection in Insurance Markets
Adverse selection in insurance markets occurs when:- Insurance buyers have more information about the risks they face than the insurance company
Low-risk parties may avoid purchasing insurance if they perceive it as too expensive, while high-risk parties may find it advantageous to buy insurance.