Regulatory interventions were initiated to reduce the rise in health c

Regulatory interventions were initiated to reduce the rise in health care costs. These interventions include:

1. Prospective payment systems
2. State limits on health care fees
3. Federal guidelines for treatment
4. Court review of insurance coverage

ANSWER

ANS: 1
As a means to reduce health care costs, in 1983 Congress established the prospective payment system in which hospitals are reimbursed a set dollar amount for each diagnosis-related group, regardless of the length of stay or use of services in the hospital.
State limits on health care fees have not been used nationwide to reduce health care costs.
Federal guidelines for treatment have not been used to reduce the cost of health care. Rather, the focus has been on financial reimbursement.
Court review of insurance coverage has not been a primary intervention to lower health care costs.