ReimbursementQuestion 68 of 100
The Resource-Based Relative Value Scale (RBRVS) determines physician payment based on:
a.A flat fee for every service regardless of complexity
b.Relative value units reflecting physician work, practice expense, and malpractice cost, adjusted geographically
c.The patient's income level
d.The hospital's total operating budget
Explanation
RBRVS assigns each service relative value units for physician work, practice expense, and professional liability, which are adjusted by geographic indices and multiplied by a conversion factor to set payment. This system underlies the Medicare Physician Fee Schedule. It ties reimbursement to the resources required rather than to historical charges.
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