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Glossary of Managed Care Terms

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H
HCFA 1500
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The Health Care Finance Administration's standard form for submitting physician service claims to third party (insurance) companies.
Health Care Financing Administration (HCFA)
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The agency within the Department of Health and Human Services which administers federal health financing and related regulatory programs, principally the Medicare, Medicaid, and Peer Review Organization.
Health Maintenance Organization (HMO)
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A legal corporation that offers health insurance and medical care. HMOs typically offer a range of health care services at a fixed price (see capitation). Types of HMOs:
  • Staff Model -- Organization owns its clinics and employs its docs.
  • Group Model -- Contract with medical groups for services.
  • IPA Model -- Contract with an IPA that in turn contracts with individual physicians.
  • Direct Contract Model -- Contracts directly with individual physicians.
  • Mixed Model -- Members get options ranging from staff to IPA models.
Health Plan
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A generic term to refer to a specific benefit package offered by an insurer. Also used to pertain to the insurer; e.g., "I signed up for the Blue Cross health plan."
Health Plan Employer Data and Information Set (HEDIS)
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A set of performance measures designed to standardize the way health plans report data to employers. HEDIS currently measures five major areas of health plan performance: quality, access and patient satisfaction, membership and utilization, finance, and descriptive information on health plan management.
HHS
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The Department of Health and Human Services that is responsible for health-related programs and issues. Formerly HEW, the Department of Health, Education, and Welfare. The Office of Health Maintenance Organizations (OHMO) is part of HHS and detailed information on most companies is available here through the Freedom of Information Act.
Hold Harmless Clause
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A clause frequently found in managed care contracts whereby the HMO and the physician hold each other not liable for malpractice or corporate malfeasance if either of the parties is found to be liable. Many insurance carriers exclude this type of liability from coverage. It may also refer to language that prohibits the provider from billing patients if their managed care company becomes insolvent. State and federal regulations may require this language.
Home Health Care
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Full range of medical and other health related services such as physical therapy, nursing, counseling, and social services that are delivered in the home of a patient, by a provider.
Hospice Services
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Services to provide care to the terminally ill and their families.
Hospital
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Any institution duly licensed, certified, and operated as a Hospital. In no event shall the term "Hospital" include a convalescent facility, nursing home, or any institution or part thereof which is used principally as a convalescence facility, rest facility, nursing facility, or facility for the aged.
Hospital Affiliation
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A contractual agreement between an HMO and one or more hospitals whereby the hospital provides the inpatient benefits offered by the HMO.
Hospital Audit Companies
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Retrospective audit providers that typically achieve a 15-20 percent savings of billed claims.
Hospital Day
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A term to describe any twenty-four hour period commencing at 12:00 a.m., or 12:00 p.m., whichever is used by a hospital to determine a hospital day, during which a patient receives hospital services at the hospital.
Hospital Days (per 1,000)
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Measurements of the number of days of hospital care HMO members use in a year. It is calculated as follows: Total Number of Days Spent In A Hospital by Members divided by Total Members. This information is available through HHS, OHMO and a variety of sources.


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