utilization management (UM)

Process and procedures implemented to administer the use of health care services in the hospital by evaluating quality of care and establishing appropriateness and medical necessity for services. It ensures maximum medical care resource use and helps reduce health care spending. Examples of UM are preadmission certifications, admission reviews, concurrent reviews, focused reviews, individual case management, discharge planning, retrospective reviews, provider profiling, and second surgical opinions.

utilization review (UR)

Process, based on established criteria, of evaluating and controlling the medical necessity for services and providers’ use of medical care resources. Reviews are carried out by allied health personnel at predetermined times during the hospital stay to assess the need for the full facilities of an acute care hospital. In managed care systems such as an HMO, reviews are done to establish medical necessity and appropriateness or efficiency of health care services, thus curbing costs. UR is also monitored by both insurers and employers. Also called medical review, continued stay review, utilization , and management control .

Utmost good faith

(uberrima fides, or uberrimae fidei, of the utmost good faith) a duty laid on the parties to an insurance contract, especially the proposer, of greater force than ordinary good faith, requiring full disclosure of all facts which are or might be material to the contract; this duty subsists throughout negotiations over the terms of the contract and until the contract has been concluded, and may be maintained during the period of the contract if the policy so provides.