HR Glossary

Capitated Pricing

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Capitated pricing definition

Capitated pricing is a pricing model or a payment arrangement based on each customer served rather than the service performed.

what-is-capitated-pricing

Capitated pricing definition

Capitated pricing is a pricing model or a payment arrangement based on each customer served rather than the service performed. In capitated pricing traders deliver contracted services for a set amount of money per employee per month.

It often refers to a pricing model used by healthcare providers which regulates the price of similar products and devices across the industry based on the level of the product.

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