Evaluation of the equity of age–sex adjusted primary care capitation payments in Ontario, Canada

Several innovative primary care models have recently been introduced in Ontario, Canada. Two of these models are funded primarily through age–sex based capitation. There is concern that adjusting capitation rates for age and sex alone does not take into account the increased morbidity burden and health care needs that are associated with lower socioeconomic status. This study assesses the extent to which the current age–sex capitation rates in Ontario reflect health care needs of patients across socioeconomic status by comparing Ontario's age–sex adjusted capitation remuneration rate index with relative expected health care resource use by socioeconomic status (SES).