Asked by Allie Tangco on Apr 27, 2024

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The request for approval for payment from a third-party payer prior to a procedure is the ____.

A) coinsurance
B) elective procedure
C) preauthorization
D) predetermination
E) explanation of payment

Preauthorization

Authorization or approval for payment from a third-party payer requested in advance of a specific procedure.

Third-party Payer

An entity (usually an insurance company or government agency) that pays medical expenses on behalf of the patient.

Elective Procedure

A medical procedure that is not required to sustain life but is requested for payment to the third-party payer by the patient or physician. Some elective procedures are paid for by third-party payers, whereas others are not.

  • Explain the preauthorization process and its importance in medical billing.
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Smile SadiouraMay 03, 2024
Final Answer :
C
Explanation :
Preauthorization is the process where a healthcare provider must obtain approval from a third-party payer before proceeding with a specific service or procedure to ensure it is covered under the patient's insurance policy.