What is “withhold” in medical billing?

Withhold in Medical Billing

Withhold refers to a portion of the payment that an insurance company holds back from a provider, typically as part of a managed care arrangement.

Withhold in Medical Billing Explained

In medical billing, a withhold is often used in capitation or risk-sharing agreements, where a percentage of the provider’s payment is held back until the end of the year, based on performance or patient outcomes.

For example, an HMO withholds 10% of the provider’s payments until year-end when performance is reviewed.

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