Which term refers to the dollar amount a provider sets for services before negotiations?

The term that refers to the dollar amount a provider sets for services before negotiations is "charge." This is the initial price set by the healthcare provider, which serves as a starting point in any negotiations that may occur with payers or patients. Charges can vary widely based on the provider, type of service, and overall market conditions.

Charges are an important part of the healthcare financial landscape because they represent the list price for services rendered, even though the actual payment may be different after discounts, negotiations, or adjustments based on the payer contracts or patient agreements. Understanding the concept of charges helps stakeholders in the healthcare sector, including patients and insurers, navigate costs and budgeting effectively.

In contrast, cost typically refers to the actual expenses incurred by the provider to deliver a service, while price is often considered the amount that a payer agrees to pay after negotiations. Value is a more abstract concept related to the benefits or quality of care provided relative to the costs involved.