Pre-hospitalization authorization is considered an example of?

Pre-hospitalization authorization is a process where a health insurer reviews and approves the medical necessity of a procedure or treatment prior to the patient receiving it. This practice is a hallmark of managed care plans, which are designed to control costs and ensure that patients receive appropriate care by requiring prior approval for specific services. Managed care aims to coordinate healthcare delivery and often includes networks of providers who agree to provide services at negotiated rates.

In the context of managed care, pre-hospitalization authorization serves to manage the utilization of healthcare services, ensuring that only necessary and approved treatments are provided, ultimately benefiting both the insurer and the patient by reducing unnecessary costs and procedures.

The other options represent different models of healthcare payment. Fee-for-service allows providers to be paid for each service rendered, often without prior authorization. Indemnity insurance provides a more traditional form of health coverage where patients can see any provider without requiring prior approval, and reimbursement is based on a predetermined schedule of benefits. Point of service plans offer flexibility in choosing providers but still function under managed care principles, often requiring referrals and approvals similar to managed care setups, yet not specifically highlighting the role of pre-authorization.