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vocaboo
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capitation

Pronunciation: [kəˈpɪteɪʃən]

Word

Context: "healthcare"

(noun) a payment system where a doctor or healthcare provider gets a set amount of money for each person they take care of, instead of being paid for each visit or service. It helps doctors plan their budgets based on how many patients they have.

Example

The doctor prefers capitation because it allows for better planning and patient care.

Example

Capitation can sometimes lead to longer wait times if doctors worry about their payments.

Example

What are the advantages of using capitation in healthcare?

Context: "finance"

(noun) a method of paying for services based on the number of clients or users, rather than how much service they use. It's like paying for a subscription rather than for individual items.

Example

Many businesses use capitation to provide services without charging extra fees each time.

Example

Using capitation may not work well if customers need more personalized services.

Example

How does capitation change the way companies charge for their services?

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