Which care system is used to control costs and access to health care services?

Prepare for your Accident and Health Insurance Agent/Broker Exam. Use flashcards and multiple choice questions to enhance your knowledge. Each question includes hints and explanations. Get exam-ready now!

The managed care system is designed specifically to control costs and regulate access to healthcare services. This system employs various strategies to coordinate and deliver care efficiently while aiming to reduce unnecessary healthcare expenditures. Managed care typically includes Health Maintenance Organizations (HMOs), Preferred Provider Organizations (PPOs), and Exclusive Provider Organizations (EPOs). These organizations establish networks of providers, negotiate rates, and incentivize the use of these network services, encouraging members to choose providers within the network to reduce costs.

Managed care also emphasizes primary care as a central point for healthcare access, which helps in coordinating care, managing chronic conditions, and preventing unnecessary hospitalizations or specialist consultations. By controlling who can access care and under what circumstances, managed care aims to enhance the quality of services while simultaneously keeping costs in check. This approach contrasts with other systems, such as free care or supplemental care, which do not necessarily impose the same level of cost control or access management.

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