What is meant by reimbursement in healthcare?

Reimbursement in healthcare refers specifically to the process where a healthcare provider receives payment from an insurance company or payer for services provided to a patient. This occurs after the services have already been rendered, meaning that the healthcare provider has delivered care, and then submits a claim to the insurer for payment.

This payment structure is crucial in the healthcare system because it helps providers maintain cash flow and manage their operations without requiring patients to pay upfront. The process involves various steps, including billing, claims submission, and payment processing, which can differ depending on the insurer’s policies and the specifics of the healthcare services provided.

The other options describe different aspects of the financial transactions in healthcare but do not accurately define reimbursement. Direct payments from patients to providers, total costs charged, or general assessments of medical expenses pertain to other financial interactions within healthcare and do not capture the essence of reimbursement as a payment made by insurers following service delivery.