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One reimbursement method that health plans can use for hospitals is the ambulatory payment classifications (APCs) method. APCs bear a resemblance to the diagnosis-related groups (DRGs) method of reimbursement. However, when comparing APCs and DRGs, one of the primary differences between the two methods is that only the APC method

  1. is typically used for outpatient care
  2. assigns a single code for treatment
  3. applies to treatment received during an entire hospital stay
  4. is considered to be a retrospective payment system

Answer(s): A



Four types of APCs are ancillary APCs, medical APCs, significant procedure APCs, and surgical APCs. An example of a type of APC known as

  1. An ancillary APC is a biopsy
  2. Amedical APC is radiation therapy
  3. Asignificant procedure APC is a computerized tomography (CT) scan
  4. Asurgical APC is an emergency department visit for cardiovascular disease

Answer(s): C



The Gladspell HMO has contracted with the Ellysium Hospital to provide subacute care to its plan members. Gladspell pays Ellysium by using a per diem reimbursement method.

The per diem reimbursement method will require Gladspell to pay Ellysium a

  1. Fixed rate for each day a plan member is treated in Ellysium's subacute care facility
  2. Discounted charge for all subacute care services given by Ellysium
  3. Rate that varies depending on patient category
  4. Fixed rate per enrollee per month

Answer(s): A



The Gladspell HMO has contracted with the Ellysium Hospital to provide subacute care to its plan members. Gladspell pays Ellysium by using a per diem reimbursement method.

If Gladspell's per diem contract with Ellysium is typical, then the per diem payment will cover such medical costs as

  1. Laboratory tests
  2. Respiratory therapy
  3. Semiprivate room and board
  4. Radiology services

Answer(s): C






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