Health Maintenance Organization

A health maintenance organization (health maintenance organization) is a healthcargon system that assumes or shares both the financial risks and the speech risks associated with providing comp checkup exam services to a voluntarily enrolled population in a particular geographic area, usually in give out by for a fixed, prepaid fee. In new(prenominal) words, an health maintenance organization arranges for the delivery of medical care and provides, or shares in providing, the financing for that medical care. Historically, HMOs were called prepaid group practices, although they were formed as corporations. nearly secern laws require an HMO to be organized as a corporation, rather than a partnership or other sanctioned entity. Further, most HMOs must be licensed in the enunciates in which they are incorporated and must comply with statutory essentials for HMOs in severally state in which they conduct business. An HMO whitethorn be owned or sponsored by umpteen assorted t ypes of corporations, and may be for-profit or not-for-profit. Owners or sponsors of HMOs accommodate a variety of types of organizations. The Act also required employers to whirl mandatary dual choice provisions, which we discussed previously. Many HMOs pursued federal official susceptibility because the Act provided federally qualified HMOs access to employers in their markets.

federal financial assistance, in the form of grants and loans, was made visible(prenominal) from 1973 until 1981. In 1995, federal law eliminated the dual choice requirement for employer-sponsored healthcare. Because of the excretory product of dual choice provisions and the ! enfeeblement of federal grants, in that location are fewer incentives right off to form a federally qualified HMO. Federal susceptibility is still important for Medicare and erect employer contracts, however. Health maintenance organizations are heavily regulated at both the federal and state levels to ensure HMO solvency and ingredient access to quality medical care. For example, an HMO may return to be licensed as an HMO or restitution company in each state in which it conducts business. The...If you call for to get a overflowing essay, order it on our website: OrderCustomPaper.com

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