Managed Care vs Traditional

795 Words Mar 16th, 2011 4 Pages
| Managed Care Vs Traditional Insurance | By Iris Miranda |

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Iris Miranda
University of Phoenix
HCA 230
January 23, 2011
Della McMillon

Presently in the United States there are several different health care plans and the decision to accept Managed Health care plans become difficult. Managed care is the most utilized form of health insurance in the United States for it provides cost that is efficient versus paying for services rendered in one lump sum. However like everything in life, there are pros and cons to consider when it comes to managed care versus traditional insurance. What is Managed care? Managed care is a health care system which provides a person
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Furthermore, once the person has exceeded their deductible, the company will only pay eighty percent of the remaining bill, which by this time you would probably be paying a large sum. Managed Care from a consumer’s perspective is more affordable, there is no deductible and there is also no obligation to pay a percentage of the medical bill. Therefore the difference between the two, Traditional and Managed is simply financial. From a physician’s stand of point traditional insurance (fee-for-service), the consumer or patient pays the physician directly unless the patient has exceeded their deductible from their insurance, in which case the patient would pay a portion of the bill, and the remaining balance is reimbursed from the insurance to the physician. Being a physician who participates in Managed Care accepting various medical insurance like HMO, PPO the physician is provided with several amenities which include an office and administrated support, salary, better working hours. With PPO some of the amenities may include treating patients outside the plan, stable patient load, and independence to run office. The drawbacks from these insurances (HMO, PPO) are you have a limited to select from a network of physicians, therefore if you changed professions and had to work somewhere else that offered a different insurance which your current doctor did not participate with, you would now need to switch over to someone

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