Which payment system rewards healthcare providers for the volume of services rendered?

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The Fee-for-Service payment system is designed to compensate healthcare providers for each individual service they deliver. This model incentivizes providers to perform a greater quantity of services since they receive payment for every procedure, consultation, or treatment given. This can lead to higher volumes of services being recommended and provided, as each action contributes directly to the provider's revenue.

In contrast, other models like Preferred Provider Organizations (PPOs), Health Maintenance Organizations (HMOs), and Point of Service (POS) plans often incorporate a mix of payment structures or value-based reimbursement methods that prioritize cost-efficiency and care quality over the sheer volume of services. While PPOs allow for greater provider choices and HMOs emphasize preventive care, they do not primarily focus on rewarding the volume of services like the Fee-for-Service model does.

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