Question

11. Which of the following is a common characteristic of a preferred-provider organization? A. Referrals are required to see specialists. B. Participants are required to elect a primary care physician. C. Participating providers are paid on a fee-for-service basis as their services are used. D. Physicians are given financial incentives to keep patients from seeking care out of network.

Answer 1

Ans - Preferred Provider Organization (PPO) is a type of Health Plan which contracts with Medical facilitators or Medical providers like Hospitals, doctors and other health facilitators to make a network that allows the members of (PPO) to take medical service at a low cost. In other words, it is the type of network which been created by (PPO) and Medical service companies through an agreement which helps their members in accessing Medical facilities at low costs.

The two biggest advantages are it allows its members to visit any Medical providers like any doctor without any referrals from Primary care physician and it also allows to visit doctors and hospitals outside the network but has some limitations.

So option A and B will be ruled out because you don't need any referrals and also you don't have to select any physician as its members are allowed to visit any Medical provider with the network or outside but with the outside network, it has limitations.

D will also not be true as no incentive is given to any physician or doctor to keep patients from seeking care out of network. so our answer will be C.

Ans is C  Participating providers are paid on a fee-for-service basis as their services are used.