Question

Do you agree or disagree and why?

The goal for developing managed care organizations was to decrease the cost of health care expenditures by limiting the quantity of health care and reducing reimbursements to providers (Shi, 2017). The first semblance of an MCO originated in 1929. However, MCOs did not gain rapid popularity until the 1990s when health care costs were uncontrollably high and private enterprises struggled with rising premiums (Shi, 2017). Medicare and Medicaid contributed to the growth in MCOs because the government allowed beneficiaries to opt into a MCO plan, leading to increased enrollment.

Answer 1

Answer: These programs such as Medicare and Medicaid was mainly established for the quality treatment of the patient and the public of the nation. The main goal was to provide better health care within the budget. Medicare is a federal program that provides health coverage if person is 65 and older or have a severe disability, without the matter of income whereas Medicaid is a state and federal program that provides health coverage for low income people. But these programs have a high rate that people of low income also cannot afford it. So, it lost its popularity as the health care cost was too high.

People with high income avails all the medicare facilities whereas due to excessive increase in cost causes people of lower income to not get the benefits.