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Health Care Payment System Presentation

Health Care Payment System Presentation

The health care payment system refers to methods used to pay individuals or organizations who provide health services. Every system of payment depends on one or more methods of provider payment that create a different set of incentives and may be suitable for diverse conditions (Andel et al., 2012). (Andel et al., 2012). Some of the most commonly used methods include the global budget, line item budget, case base payment, fee-for-service, as well as per diem payment. The study of one of the aspects mentioned above, especially concerning the criteria and parameters for implementation as well as its impact on nursing practice, will enhance the understanding of the healthcare payment system.

Overview of the criteria and parameters for implementation

In the line-item budget method, a certain amount of money is assigned to a health professional to cater to some costs, such as medicine and utilities. The implementation of line-item budget payment is dependent on parameters such as the basis of payment, design features, services, and cost items. The basis of payment varies by the nature of the provider, historical input norms, catchment population, and cost estimates (Andel et al., 2012). (Andel et al., 2012). The system has rules that restrict the ability of providers to transfer across the lines and therefore provides no mechanism for the provider to attain the most effective input mix. The rate of payment to providers, payment to providers, and payment based on inputs or outputs are either prospective or retrospective, input-based or output based.

The Impact on Nursing Practice

The payment system has various effects on the way that nurses conduct their operations within the health care facility. The nurse practitioner’s payment policies are restrictive, thereby affecting how they attend to the patients, as they are limited on how they practice duties assigned to them. Furthermore, they cannot practice without being supervised by a doctor and are neither recognized by anyone as primary care providers, which influences how they provide care services as well as how they are paid (Andel et al., 2012). (Andel et al., 2012). Conversely, the payment policies that are restrictive help keep track of the daily practice of the nurses by the management, which makes it easier to know what services they are paid for and the rates of payments. One of the advantages of the system is that it helps nurse practitioners to check whether they are assigned as primary care providers and whether they can receive their payments directly. Increase in the general quantity and intensity of the work by the nurses due to the growing patient capacity and pressure for the nurses to practice, which has made it necessary for healthcare institutions to adopt healthcare payment systems to manage the workload (Kennedy & Bartlett, 2014). (Kennedy & Bartlett, 2014). It is essential to take note that the payment systems have negligible effects on the income linked to the quality and effectiveness of the care that they provide.


The implementation of appropriate payment systems within healthcare facilities is essential to encourage strategic purchasing. The methods through which purchasers use pay providers of health care to enable them to deliver their services are also critical because the level of efficiency and ease of use determines the efficacy of the health care payment system. Efficient payment systems help in creating productive relationships among all trading partners and improve accountability among cash handlers within healthcare institutions. However, it is essential to note that the use of the electronic payment, including the reimbursement method, remains a challenge, as most players within health care find it challenging to implement them.


Andel, c, Davidow, S. L., Hollander, M., & Moreno, D. A. (2012). The economics of health care quality and medical errors. Journal of health care Finance, 39(1), 39.

Kennedy, B., & Bartlett, R. (2014). U.S. Patent No. 8,788,293. Washington, DC: U.S. Patent and Trademark


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Create a presentation on the healthcare payment system. This assignment is to be done in teams.

Identify an aspect of the health care payment system.

Provide an overview of the criteria and parameters for implementation.

Health Care Payment System Presentation

Health Care Payment System Presentation

Identify the impact on nursing practice.

t APA format including citation of references.

The PowerPoint presentation with 10-15 slides were clear and easy to read.

formatted per APA and references should be current (published within the last five years) scholarly journal articles or primary legal sources (statutes, court opinions).

Incorporate a minimum of 4 current (published within the last five years) scholarly journal articles or primary legal sources (statutes, court opinions) within your work. Journal articles and books should be referenced according to the current APA style (the library links to an external site. that has a copy of the APA Manual).


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