Final answer:
Under Traditional insurance, also known as indemnity insurance, individuals have greater flexibility in choosing their health care providers without needing the insurance company's permission for specialist visits.
Step-by-step explanation:
Under Traditional insurance (indemnity), you have more flexibility when it comes to choosing doctors, hospitals, and other health care providers. This type of insurance allows individuals to self-refer to any specialist without needing permission, and it is not up to the insurance company to decide the necessity of the visit. This contrasts with Health Maintenance Organizations (HMOs), where care providers are reimbursed based on patient numbers and must allocate resources accordingly. With indemnity plans, the risk of adverse selection is present, where individuals with more knowledge of their health risks may impact the insurance pool more significantly.