Which of the following is NOT a basic reimbursement methodology used for hospital services?

The chosen answer identifies an option that is not typically characterized as a basic reimbursement methodology for hospital services. Discounted negotiated fee schedules refer to arrangements where healthcare providers and payers agree on discounted rates for services, making them a common method of reimbursement rather than an atypical one.

Fundamentally, basic reimbursement methodologies are typically categorized into four main types, and the other options reflect those categories:

• Percent-of-charge payments involve reimbursement based on a percentage of the hospital’s established charges for services provided.

• Case rate payments offer a predetermined amount for specific diagnoses or procedures, encouraging efficiency in care since the payment remains the same regardless of the actual costs incurred.

• Per diem payments compensate hospitals a fixed rate for each day a patient stays, promoting efficiency by incentivizing quicker discharges.

In contrast, discounted negotiated fee schedules function outside the realm of these basic methodologies, which focus on fixed rates or formulas tied to specific service categories. Therefore, the identification of discounted negotiated fee schedules as not fitting into the basic methodologies aligns with its nuanced nature in hospital reimbursement scenarios.