AAM Phase 1 Test Introduction: Study with flashcards and multiple choice questions, each question has hints and explanations. Master the test and excel!

Multiple Choice

In the July scenario, what is the reimbursement amount?

Reimbursement is the amount the payer actually pays the provider, based on the negotiated rate for the service (the allowed amount) rather than the full billed charge. The July scenario reflects a contract where the payer covers a fixed share of the allowed amount, with the remainder potentially falling to the patient as deductible or coinsurance. If the contract pays 85% of the allowed amount, the reimbursement equals 0.85 times the allowed amount. For example, with an allowed amount of 200,000, the payer would reimburse 170,000, leaving 30,000 as patient responsibility or other adjustments. That matches the given correct option. The other numbers would require different allowed amounts or different reimbursement percentages, which is why they don’t fit this scenario.

Reimbursement is the amount the payer actually pays the provider, based on the negotiated rate for the service (the allowed amount) rather than the full billed charge. The July scenario reflects a contract where the payer covers a fixed share of the allowed amount, with the remainder potentially falling to the patient as deductible or coinsurance.

If the contract pays 85% of the allowed amount, the reimbursement equals 0.85 times the allowed amount. For example, with an allowed amount of 200,000, the payer would reimburse 170,000, leaving 30,000 as patient responsibility or other adjustments. That matches the given correct option.

The other numbers would require different allowed amounts or different reimbursement percentages, which is why they don’t fit this scenario.