What law established Medicare Part C, creating a new managed care option and other health plan choices for beneficiaries/
A)HMO
B)POS
C)IDS
D)PPO
The law that established Medicare Part C and introduced new managed care options and health plan choices for beneficiaries is known as the Balanced Budget Act of 1997. This legislation aimed to give Medicare beneficiaries additional options beyond the traditional fee-for-service Medicare program.
To determine the correct answer among the given options (A) HMO, (B) POS, (C) IDS, and (D) PPO, it is helpful to understand the different types of managed care plans:
A) HMO (Health Maintenance Organization): This type of plan typically requires beneficiaries to use a network of doctors, hospitals, and other healthcare providers. HMOs generally require individuals to select a primary care physician (PCP) who manages all their healthcare needs and provides referrals to specialists.
B) POS (Point of Service): POS plans combine features of HMOs and PPOs. Beneficiaries can generally choose between in-network and out-of-network providers. Like HMOs, POS plans usually require a PCP and may require referrals for specialist care.
C) IDS (Integrated Delivery System): IDS is a broader term used to describe a healthcare organization or network that integrates various healthcare providers such as hospitals, clinics, and physicians. However, IDS is not the specific type of plan established by the law creating Medicare Part C.
D) PPO (Preferred Provider Organization): PPO plans provide more flexibility than HMOs or POS plans. Beneficiaries have the choice of using both in-network and out-of-network providers. PPO plans typically do not require a PCP and do not mandate referrals to see specialists.
Based on this information, the correct answer is D) PPO, as Medicare Part C (also known as Medicare Advantage) offers PPO plans along with other options to beneficiaries.