An Analysis of Managed Care
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Medical costs progressively consume a large part of the Gross Domestic Product of the United States. Various sectors that seek health services including the government are increasingly turning to a regulated form of financing and delivery of health services termed as managed care. All citizen in the United States is eligible for this form of care whose purpose is to make medical care accessible for all. This paper seeks to provide a thorough analysis of managed care detailing its role in the transformation of health services, its impact on various heath aspects including access, delivery of care and financing as well as the role of managed care in promoting costs. Exploration of Managed Care Managed Care involves a system of medical provision in which patients choose preferred doctors and hospitals to visit when in need of health services and the cost of treatment is monitored by a managing company. Managed care is key to the control of health care costs that focuses on preventive care to lower cost associated with curative care. Manage Care has three forms. They are Health Maintenance Organizations (HMO), Point of Service (POS), and Preferred Provider Organizations (PPO). Managed care strategies offer financial incentives to members who control their own health care expenses for instance through the lowering the prices of prescribed drugs (Shortell, Gillies, and Anderson, 1994). Health Maintenance Organizations are a constricting type of health care that necessitates its members to select a primary care physician who will be giving referrals for the provision of services from any other specialist or physician. The organization only pays for care within a provider network. Preferred Provider Organizations are flexible and allow members to receive care outside of the