Homonym: Payer (Debtor)
A "Payer" refers to an individual or organization that is responsible for making payments for goods or services. In the context of healthcare, a payer typically refers to an insurance company or government program that covers medical expenses for patients. Payers negotiate rates with healthcare providers and determine the extent of coverage for various treatments.
In addition to healthcare, the term "payer" can apply to any financial transaction where one party compensates another. This includes businesses paying suppliers, consumers paying for products, or even governments paying contractors for services rendered. Understanding the role of payers is essential in various economic sectors.