Chapter $3-$ Payments to Providers

In Class Problem

American Managed Care $($AMC$)$ is a managed care plan that is developing a premiem bid for the primary care of the $1,000$ employers of XYZ Electronics. Last yeat, the XYZ employees made $3,000$ visits to primary care physicians. Each primary care phosician can handie about $4,500$ patient visits per year, for which he or she is paid $$180,000.$ What primary care rate $($PMiPM$)$ will AMC propose to XYZ$?$

ANSWETK

Step $1-$ Lacatify the rrinciant dala

Number of ABC members

Visits per year for all ABC emplogees

Visil capacify per primaly care MD per y ar

Cempensation per primary care MD

Months per year

Step? Calealale the reqwired mwner of primary care MDs

Step $3-$Calculate the annual cost or die proming eare vity

Secp $4-$ calculate the petanary care cait por memies per geat

Surp $5-$Catrificte the primery ente enal per momemev pers menta