Health care cost containment

Correct Answer: Tiered formulary

A tiered formulary strategy involves categorizing medications into different levels or tiers based on factors such as cost and clinical effectiveness. This structure encourages the selection of more cost-effective drugs by providing different coverage levels for each tier, incentivizing the use of preferred, lower-cost medications.

Correct Answer: Utilization Management

Utilization Management involves evaluating the necessity, appropriateness, and efficiency of medical services, procedures, and facilities. Benefit Plan Optimization focuses on optimizing the benefits plan to manage costs but does not specifically evaluate the use of services. Employee Wellness Programs aim to improve employee health and reduce costs by promoting healthy behaviors, not by evaluating medical services. Provider Network Expansion involves increasing the number of healthcare providers available to patients, rather than assessing the necessity and appropriateness of services.

Correct Answer: Global Budgeting

Global Budgeting involves allocating a fixed total budget to a healthcare organization for a specific period, which promotes efficient resource management and cost control. The other strategies, such as Prospective Payment, Activity-Based Funding, and Resource Allocation Model, utilize different funding or payment mechanisms that do not involve setting a fixed total budget in the same manner.