As the types of MCOs have evolved over the years, the restrictions have lessened, but there is a financial penalty such as a higher copayment or higher deductible for choosing a provider outside of the network.

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Managed Care Organizations (MCOs) often have network restrictions, but members can choose providers outside of the network at the cost of higher copayments or deductibles, reflecting a financial penalty for not adhering to the preferred provider network.

As the Types of MCOs Have Evolved Over the Years