Models | FFS | Capitation | Blended funding models |
---|---|---|---|
Definition | Healthcare providers are compensated by a fixed number of incentives based on the quantity of the services they provide | Healthcare providers receive payments at the beginning of each month according to the number of patients assigned to them | A hybrid model, mostly fee-for-services are integrated with capitation models |
Advantages | Healthcare providers are keen to provide as many patient care services as possible | - The quality of services and cost-effectiveness of the treatment are improved - Pharmacy operators are less likely to have financial problems | Address the single-base funding model’s shortcomings |
Disadvantages | - Healthcare providers may ignore the quality of the patients care services - Pharmacists may ask the patients to fill their prescriptions even if they still have enough medicines, which could lead to medicine over-usage - Pharmacists receive delayed incentives due to complex and lengthy claiming processes | - Less patients able to receive professional health services from pharmacists - Physicians may prescribe less medications to the patients to reduce the cost of treatment |  – |