The U.s. Health are market Private Insurance Cost-based reimbursement / Fee-for- service Insurance policies that provide payments to health care providers based on actual costs of treating patient Little incentive to economize on methods for delivering health care since fully reimbursed11 The U.S. Health Care Market: Private Insurance • Cost-based reimbursement / Fee-forservice – Insurance policies that provide payments to health care providers based on actual costs of treating patient – Little incentive to economize on methods for delivering health care since fully reimbursed