per member per month
per member per month
adjective Referring to the dollar amount paid to a provider (hospital or healthcare worker) each month for each person for whom the provider is responsible for providing services. Per member per month forms the basis upon which managed care organisations pay providers under capitation revenue stream or cost for each enrolled member each month.cap·i·ta·tion
(kap'i-tā'shŭn)See also: managed care