Managed care
Managed Care
Managed care (/ˈmænɪdʒd kɛər/) is a health care delivery system organized to manage cost, utilization, and quality.
Etymology
The term "managed care" is believed to have been first used in the United States in the 1980s, as a response to rapidly rising health care costs. The term "manage" comes from the Italian "maneggiare" (to handle — especially tools), which derives from the Latin "manus" (hand). The term "care" comes from the Old English "caru" or "cearu" (sorrow, anxiety, grief), which comes from the Proto-Germanic "*karo" (lament).
Definition
Managed care programs include a variety of health plans including Health Maintenance Organizations (HMOs), Preferred Provider Organizations (PPOs), and Point of Service (POS) plans. These plans contract with health care providers and medical facilities to provide care for members at lower costs.
Related Terms
- Health Maintenance Organizations (HMOs): These are organizations that provide or arrange managed care for health insurance, self-funded health care benefit plans, individuals, and other entities in the United States as a liaison with health care providers on a prepaid basis.
- Preferred Provider Organizations (PPOs): A PPO is a type of managed care organization of medical doctors, hospitals, and other health care providers who have agreed with an insurer or a third-party administrator to provide health care at reduced rates to the insurer's or administrator's clients.
- Point of Service (POS): A type of plan in which you pay less if you use doctors, hospitals, and other health care providers that belong to the plan’s network. POS plans also require you to get a referral from your primary care doctor in order to see a specialist.
External links
- Medical encyclopedia article on Managed care
- Wikipedia's article - Managed care
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