IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this paper

Development and Application of a Needs-based Methodology for Calculating a Capitation Rate for a Comprehensive Health Organization

Listed author(s):
  • S Birch
  • S Chambers
  • J Eyles
  • J Hurley
  • B Hutchison

In this study we develop a methodology for calculating a capitation rate for a Comprehensive Health Organization (CHO). We apply the methodology to the population served by the proposed Fort Frances CHO. The methods of calculating capitation rates used currently by the Ontario Ministry of Health to determine funding levels of Health Service Organizations (HSOs), as well as the methods proposed for calculating CHO capitation rates, are critically reviewed. Both approaches base the calculated capitation rates on the current, or past, levels of health-care utilization, which perpetuate any existing inequalities in access to health care in the province. The methodology developed in this study has the health-care needs of the study population, as distinct from the health-care use of patients, as its focus. We argue that this needs-based approach is consistent with the philosophy of the Canada Health Act (1984) and encompasses aspects of both efficiency and equity in the allocation of health-care resources. Studies on population characteristics which correlate with health status and risks to health are reviewed, as is the literature on population-based planning of health-care resources. The strengths and weaknesses of potential indicators of health-care needs are evaluated. A profile of the study population is constructed, using data from the national census and other sources, which is compared with a corresponding profile of the provincial population. Particular features of the study population are identified as factors giving rise to atypical levels of need for health care. On the basis of the literature review, the standardized mortality ratio (SMR) is used as the best available indicator of need for most programmes.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:
Download Restriction: no

Paper provided by Centre for Health Economics and Policy Analysis (CHEPA), McMaster University, Hamilton, Canada in its series Centre for Health Economics and Policy Analysis Working Paper Series with number 1990-13.

in new window

Date of creation: 1990
Handle: RePEc:hpa:wpaper:199013
Contact details of provider: Postal:
CRL Building, 282, 1280 Main Street West, Hamilton, Ontario L8S 4K1

Phone: (905) 525-9140, extension 22122
Fax: (905) 546-5211
Web page:

More information through EDIRC

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:hpa:wpaper:199013. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Lyn Sauberli)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.