Final answer:
Managed care is an approach to healthcare that focuses on providing low to medium cost healthcare through quality and cost-effectiveness, often using HMOs. It includes preventive services to keep costs down and control healthcare expenses by coordinating patient care.
Step-by-step explanation:
A method of providing low to medium cost healthcare to everyone is managed care. Managed care is an organized approach to deliver healthcare services in a way that focuses on quality and cost-effectiveness. Health Maintenance Organizations (HMOs), for example, are a type of managed care where healthcare providers are reimbursed based on the number of patients they care for, rather than by the cost of services they provide. By contracting with healthcare providers and negotiating service fees, managed care plans work to lower the costs of healthcare, and ensure that patients receive the necessary medical care without unnecessary costs.
Another key aspect of managed care is the use of preventative services to keep costs down. By focusing on preventative medicine and health education, managed care plans strive to keep individuals healthier, which can reduce overall healthcare expenses. The plans generally include features such as gatekeeper primary care physicians, who monitor and direct patients' care, including referrals to specialists, which helps to avoid unnecessary procedures and control healthcare expenses.
Other alternatives, such as fee-for-service arrangements, may struggle to find a balance between cost and care, often resulting in higher costs for either insurers or patients. The focus on coordination and prevention in managed care provides a contrasting approach that can lead to both cost savings and increased access to healthcare services for a broader population.