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Advantages and Disadvantages to Managed Care

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This is a follow up question to the other question I asked you. But given that it requires more research I am posting it as a separate question for credit purposes.

What do you consider the greatest advantage to the managed care provider network relationship? What are the disadvantages?

Citations and references please.

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Solution Summary

This solution discusses the greatest advantage/disadvantage to the managed care provider network. APA formatted references are included.

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The greatest advantage to the managed care network relationship is financial savings. By having a group of healthcare providers band together and accept an agreed upon price for specific medical services with insurance companies, health care can be offered for less to consumers. Paul J. Feldstein, a health economist, points out that "managed care is structured to discourage physicians from performing unnecessary tests and procedures and to end the supplier-induced demand resulting when providers feel no fiscal responsibility to limit services" (Castro, 2009). ...

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  • Ed.D, Boise State University
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