What is the key difference between fee-for-service and capitation?

What is the key difference between fee-for-service and capitation?

• A. Capitation charges per procedure; fee-for-service charges a monthly fee.
• B. Fee-for-service pays per service; capitation pays a fixed amount per patient per period regardless of services used.
• C. Fee-for-service is bundled payment; capitation is fee-per-visit.
• D. Capitation depends on patient age.

Answer: (B)