All-payer rate setting

Alright kiddo, do you know what happens when you go to a toy store and you want to buy a teddy bear, but each teddy bear has a different price tag? That means you'll have to spend more money on a teddy bear that has a higher price tag than one that has a lower price tag, even if they might look similar. It's the same with healthcare, where different hospitals and doctors charge different prices for the same treatment.

Now, all-payer rate setting is a system where all healthcare providers (like doctors and hospitals) charge the same price for the same treatment or service, no matter who the patient is, or who's paying for it (like insurance companies or the government). That means everyone will pay the same price for the same treatment, whether they have insurance, are on Medicare or Medicaid, or pay out of their own pocket.

This system can make healthcare more affordable and simpler for everyone, because it reduces the amount of paperwork and negotiations between insurance companies and healthcare providers. Plus, it can incentivize providers to focus on quality, rather than quantity, because they'll get paid the same for treating patients.

So, that's all-payer rate setting, a system where all healthcare providers charge the same price for the same treatment or service, no matter who the patient is, or who's paying for it.