Final answer:
Accountable Care Organizations (ACOs) are the correct term for groups providing coordinated healthcare to a defined patient population and being held responsible for both the quality and cost of care. They aim to deliver high-quality, cost-effective care in contrast to the traditional fee-for-service models and are integral in efforts to reform healthcare systems.
Step-by-step explanation:
Groups of providers that provide care associated with a defined population of patients across multiple settings while being held responsible for the quality and cost of care delivered to that population are best called Accountable Care Organizations (ACOs). ACOs are a response to the imperative for health systems to deliver high-quality care while managing costs efficiently. They differ from traditional fee-for-service health financing systems where providers receive reimbursement per service, which can lead to increased costs without guaranteed quality. Instead, ACOs emphasize value and care coordination, potentially benefiting both the payer by reducing costs and the patient by improving care quality.
Background on Health Care Systems
In the past, health systems often operated in a fee-for-service mode, where health care providers were reimbursed according to the number of services they provide, possibly leading to inefficiencies like overutilization of services. In contrast, health maintenance organizations (HMOs) reimburse providers based on the number of patients they manage, challenging them to allocate resources effectively. To address these challenges and improve healthcare outcomes, many organizations around the world are working to bring down the cost of health care and increase the quality of care given through models like ACOs.
The healthcare system faces the ongoing challenge of balancing quality, access, and cost. Efficient care models such as ACOs are part of the solution, navigating the complexities of adverse selection in insurance markets while aiming to provide a high level of care to the largest number of people.