In a managed care setting, what typically happens if a patient fails to obtain pre-authorization?

In a managed care setting, obtaining pre-authorization prior to receiving certain healthcare services is crucial for ensuring coverage by the insurance payer. If a patient fails to obtain this necessary pre-authorization, the typical outcome is that no payment or a reduced payment may be made by the payer. This is because pre-authorization serves as a form of approval by the insurance company, indicating that the proposed service is deemed medically necessary and covered under the patient's plan.

When pre-authorization is not obtained, the insurance plan may refuse to cover the costs associated with that service altogether, or they may determine that only a portion of the service's costs will be reimbursed. This can lead to significant financial consequences for the patient, as they may be responsible for paying the entire bill or a larger share of the costs. Understanding the importance of pre-authorization helps patients navigate their insurance plans effectively and avoid unexpected medical expenses.