A health maintenance organization (HMO) provides patient services for a specific amount of time for a set prepaid fee.

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This is the basic definition of an HMO. Patients pay a set fee upfront and are then provided with healthcare services for a specific period of time, typically one year. The idea is to encourage preventive care and reduce overall healthcare costs by coordinating care among a network of providers.

A Health Maintenance Organization (HMO) Provides Patient Services for a Specific