Bundling
Bundling in healthcare refers to the practice of combining multiple healthcare services, procedures, or items into a single, comprehensive billing code or payment. This approach contrasts with unbundling, where each service or procedure is billed separately. Healthcare providers and insurers may use bundling to streamline billing processes, reduce administrative costs, and promote efficient healthcare delivery.
Bundled payments, also known as episode-of-care payments, may cover all services related to a particular condition or treatment over a specified period. Bundling encourages providers to deliver coordinated care and focus on outcomes rather than individual services, potentially improving quality and reducing healthcare costs. It also simplifies billing for patients and insurers by consolidating charges into a single payment for a comprehensive course of treatment or service.