Florida Insurance Licensing Practice Exam 2026 - Free Insurance Licensing Practice Questions and Study Guide

Managed care is defined as a system that integrates the financing and delivery of healthcare services to reduce costs while ensuring quality of care. This approach typically involves a network of healthcare providers who agree to deliver services at reduced costs in exchange for a steady stream of patients from health plans. The goal is to provide coordinated care that emphasizes preventative care and efficient management of healthcare resources, which ultimately helps control overall expenses for both the insurer and policyholders.

This model often includes features such as required referrals to specialists, the use of primary care physicians as gatekeepers, and incentives for members to use in-network providers, all designed to streamline care and promote cost containment. By managing both the financial and physical aspects of healthcare, managed care aims to provide better health outcomes for patients while keeping insurance premiums more affordable.