Managed Care

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Managed Care

Managed Care (pronounced: /ˈmanijd ˈker/) is a healthcare delivery system designed to manage the cost, utilization, and quality of healthcare services. The term originated in the United States in the late 20th century.

Etymology

The term "Managed Care" is derived from the primary purpose of this system - to "manage" the cost, utilization, and quality of healthcare services. The term was first used in the United States in the 1980s as a response to rising healthcare costs.

Definition

Managed Care is a system of healthcare delivery that aims to provide high-quality care while keeping costs low. This is achieved by coordinating and controlling the use of health services. Patients enrolled in a managed care plan typically receive care from a network of providers who agree to comply with the care approaches established by the plan.

Types of Managed Care

There are several types of Managed Care, including:

Related Terms

  • Capitation: A payment arrangement in which doctors are paid a set amount for each enrolled person, regardless of whether that person seeks care.
  • Fee-for-service: A payment model where services are unbundled and paid for separately.
  • Gatekeeper: In a managed care plan, this is the primary care doctor who coordinates all of the patient's healthcare services.
  • Utilization Review: The process of reviewing the appropriateness and quality of care provided to patients.

External links

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