Flat-rate surgery, with a warranty?

Okay, so here's a thought from the health care industry: flat rate surgery, with a warranty? A hospital group in Pennsylvania is doing just that, charging a flat fee for services that includes 90 days of follow-up care. This approach to health care encourages medical professionals to give better care as opposed to more care, since the less follow-up a patient requires the better for everybody. The way the health system currently works in this country hospitals are almost rewarded for errors and sub-par care by needing to see the patient again, and billing for even more services.

I think this is a great idea, although do you think hospitals would start to get choosy about who they performed certain procedures on? It might make things difficult for high-risk patients and people with complicated mixes of health conditions.