Unlike a PPO,an HMO

question 3

Multiple Choice

Unlike a PPO,an HMO

• A) employs a restricted number of providers to serve members.
• B) contracts with outside providers to meet the needs of members.
• C) is a type of managed care model.
• D) attempts to contain health-care costs.

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Definitions:

Restrict

To limit or control the size, amount, or range of something through regulations or conditions.

Recognizance

An obligation in which a party acknowledges in court that he or she will perform some specified act and/or pay a price on failure to do so.

Formal Contract

A legally binding agreement that requires a specific form, such as being in writing, to be valid.

Bond

A fixed income investment in which an investor loans money to an entity that borrows the funds for a defined period.