Term: Envelope System

Glossary Definition

Last Updated: 2007-09-26

Definition:

A hospital funding approach that utilizes a single pool or envelope of money for all related services, and funding is based on the relative cost effectiveness of the service / activity.

Related terms 

• Case Payment
• Effectiveness
• Geographically Based Capitation
• Global Funding
• Hospital Funding Approaches
• Managed Care Capitation

References 

• Black C, Frohlich N. Hospital Funding within the Health Care System: Moving Towards Effectiveness (Report #91-05-02). Winnipeg, MB: Manitoba Centre for Health Policy and Evaluation, 1991. [Report] (View)