12.2 Service Providers
We briefly touched upon the subject of service providers in Lesson 1. As you will recall, service providers do not provide insurance in and of themselves. In exchange for premiums paid, they contract for medical services with hospitals and physicians on the behalf of their members (the subscribers).
The service approach is used primarily by two types of organizations.
- Health Maintenance Organizations (HMOs)
- Preferred Provider Organizations (PPOs)
