HEALTHCARE ECONOMICS

In today’s ever-evolving environment, hospitals and physicians generate a substantial amount of their revenue from the contracts they negotiate with third party payers. In the healthcare system, the first party is the hospital or physician offering the service. The second party is the patient who seeks the treatment. The third party is the insurance company which pays the hospital for the services offered to the patients. These insurance companies provide medical cover to patients upon receipt of premiums from the patients.

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