What is the main function of a fee schedule in the fee-for-service model?

The main function of a fee schedule in the fee-for-service model is to determine acceptable charges for services. A fee schedule is essentially a comprehensive list that specifies the fees for various medical services and procedures. This schedule helps healthcare providers to set pricing for their services and also guides insurance companies in reimbursing those services.

In a fee-for-service model, providers are compensated for each individual service they deliver, and a clear fee schedule ensures transparency and standardization in billing practices. By establishing predetermined rates for services, the fee schedule facilitates financial planning for both providers and patients, making it easier to understand costs and manage payments.

While other options involve important aspects of healthcare administration, they do not serve the fundamental purpose of a fee schedule. Outlining patients' rights, detailing coverage options, and managing insurance contracts are related to patient care and administrative processes but do not directly relate to the pricing and reimbursement structure determined by a fee schedule.