What Is a Health Maintenance Organization (HMO)

What is a Health Maintenance Organization (HMO) ?

A) A private insurance company that gives members, for a fixed monthly fee, the autonomy to see whatever provider they wish to see for whatever services, as long as they adhere to doctor's orders and/or a prescribed course of treatment or therapy.
B) HMOs offer incentives to government employees to drive down health care costs; workers gain higher wages for actions such as never smoking or quitting smoking, or remaining at a health weight or losing weight.
C) A collective bargaining group established by labor unions to negotiate health care costs for its members.
D) An HMO, for a fixed monthly fee, provides total health care within a strict network of providers for patients with an emphasis on prevention in an effort to avoid costly treatments in the future.