Definition, Meaning & Synonyms

capitation

Noun
/ˌkæpɪˈteɪʃən/
Definition
Capitation is a healthcare payment model in which a physician or healthcare provider is paid a set amount per patient for a specific period, regardless of the number of services provided.
Examples
  • Under the capitation model, the doctor earns a fixed amount for each patient.
  • Capitation can help reduce unnecessary medical procedures and focus on preventive care.
  • Many healthcare systems have adopted capitation to control expenses and streamline services.
Meaning
In capitation, providers receive a fixed fee for each enrolled patient, aiming to encourage efficiency in care and manage healthcare costs effectively.
Synonyms
  • Per capita payment
  • Flat rate
  • Fixed payment