Final answer:
A Health Maintenance Organization (HMO) is an organization that acts both as an insurer and a provider of medical services. It receives a fixed amount per person enrolled in the plan, regardless of the number of services provided.
Step-by-step explanation:
The organization that acts both as an insurer and a provider of medical services is called a Health Maintenance Organization (HMO).
An HMO is a type of managed care organization that is responsible for insuring and delivering medical services to its members. It receives a fixed amount per person enrolled in the plan, regardless of the number of services provided. This means that the provider of healthcare services has an incentive to reduce the moral hazard problem by limiting the quantity of care provided, as they receive only a fixed payment.
An example of an HMO is Kaiser Permanente, a nonprofit health organization that operates its own hospitals and provides insurance coverage to its members.