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Third Party Payment

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Nursing
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Purdue Global University
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Third-party payment
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Third-party payment
The healthcare market is usually affected by third party payments, stemming from a high
demand that results in increased health care costs (Buff & Terrell, 2014). Due to increased
coverage under the various health insurance plans owing to the Affordable Care Act (ACA),
more people are seeking medical care causing health care costs to rise inadvertently due to the
growing demand. Therefore, people who could not afford medical services before the ACA are
now keen on acquiring these services with the help of their insurance plans that would see them
pay a portion of the overall costs. Besides, many insurance policies cover services relating to
preventative care which also contributes to the increased demand.
There exists many differences between the health insurance policies of the United States
and those of other wealthy industrialized countries but the use of third party insurance
intermediaries is not one of them. Essentially, third party intermediaries help in controlling the
medical costs that limit the eligible costs of heath care reimbursement by global budget payments
(Ridic, Gleason, & Ridic, 2012). Nonetheless, most wealthy countries have been successful with
global budgeting due to the set up and reinforcement of the health Care and insurance policies. In
most wealthy countries, the government is a crucial entity that remunerates hospital and medical
personnel who provide medical services. Such an efficient system helps in limiting the increase
in medical costs.
The elderly population in the US is usually covered by Medicare, an insurance program
that covers individuals aged 65 years and above. The program benefits from the protection of
AARP and offers hospital and physician coverage to the elderly who do not qualify for
commercial coverage mainly offered by employers (Engel, 2016). The insurance plan for the
elderly is crucial due to the populations increased need for medical care compared to the younger

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1 Third-party payment Name Affiliations Course Professor Date 2 Third-party payment The healthcare market is usually affected by third party payments, stemming from a high demand that results in increased health care costs (Buff & Terrell, 2014). Due to increased coverage under the various health insurance plans owing to the Affordable Care Act (ACA), more people are seeking medical care causing health care costs to rise inadvertently due to the growing demand. Therefore, people who could not afford medical services before the ACA are now keen on acquiring these services with the help of their insurance plans that would see them pay a portion of the overall costs. Besides, many insurance policies cover services relating to preventative care which also contributes to the increased demand. There exists many differences between the health insurance policies of the United States and those of other wealthy industrialized countries but the use of third party insurance intermediaries is not one of them. Essentially, third party intermediaries help in controlling the medical costs that limit the eligible costs of heath care reimbursement by global budget payments (Ridic, Gleason, & Ri ...
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