Qne of the crucial health poticies in hospitals is about physician payment methods. lndonesia had implemented tha National Health Assuronce since 2014 to achieve lJniversl Heotth Coverage by 2019. blost of hospigql revenue is packaging from the National Health lnsurance Agent (called BFJS). However, Fee-for-service (FFS) poyment method is still dominant in marry hospitals. How can haspitals moke palicy to rearronge the pyment method to attain hospitat performance? The purpase af this research is ta analyze the pyment sptem tlpt con improve employee satisfaction and perfarmonces. rl4lx method was used to collect data and make an interpretation. Data collected from 185 respondents and four key informants. The result showed thdt the policy in private and public hospitals in lndonesia of the physician pyment is diverse. lvlast of the hospitals use tbe pure FFS for setf.employee physlcidns (Nrt timer emptoyee). For full time employee, they applied FFS mixed with satary, or remuneration. Ta improve employee mtisfactian and performance, the hospitals should make a policy to link the FFS to pay for performances. The hospital shoutd make the tdilaring pragrdm by involving the physicion in a designing methad of the hospital remuneration.