Search TipsReimbursement Term
The reimbursement term is the formula that calculates how much is paid for a service and any limitations on payment. For example, a contract may stipulate that the service type ICU pays a $2900 per diem reimbursement while the service type angioplasty pays a $6400 flat rate reimbursement.
While many reimbursement terms are straightforward, such as those listed above, many are more complex. As an example: A Surgical ICU reimbursement of ($8300.00 Per Diem in the Range) For First Day in Current Range PLUS ($3000.00 Per Diem in the Range) For Day 2 and each additional day in Current Range would calculate a reimbursement for a four day stay in surgical ICU as follows:
|
|
Day 1 |
$8300 |
|
+ |
Day 2 |
$3000 |
|
+ |
Day 3 |
$3000 |
|
+ |
Day 4 |
$3000 |
|
|
|
$17,300 |