Health Maintenance Organization (hmo)
Prepaid group health insurance plan that entitles members to services of participating physicians, hospitals, and clinics. Emphasis is on preventive medicine. Members of the HMO pay a flat periodic fee (usually deducted from each paycheck) for these medical services:
- HMO Managing Physician & new member can select an HMO physician, who is then responsible for providing all of his or her health care needs. If necessary, the managing physician makes arrangements for the member to see a specialist.
- HMO Copayment a. member may be required to pay an amount in addition to required periodic payments, for example, a $5 flat fee for each visit regardless of how expensive the services may be. Or, for each prescription, to pay a flat amount of $2 regardless of the actual cost.
- HMO Hospital Services include, among others, room and board, operating room, laboratory tests, radiation, medications, and physical therapy.
- HMO Physicians and Surgeons Services in Hospital include surgeons and related medical specialists, with no co-payment.
- HMO Outpatient Hospital Care members receive the same services that are provided under Inpatient Hospital Services, as authorized by the managing physician; there is no co-payment.
- HMO Outpatient Health Services Provided at HMO Facility-include physician services, preventive health services, diagnosis and treatment services, skilled nursing facility services, mental health and/or alcohol and drug abuse services, dental care under specific circumstances, and emergency services in and out of the HMO area. A co-payment may be required. HMO exclusions include custodial care, experimental procedures, conveniences not medically related such as television, radio, and telephones, and cosmetic care except for medically necessary reconstruction.
Popular Insurance Terms
Specialist whose task is to place insurance with the specialized syndicates that underwrite particular risks at Lloyd's of London. ...
Coverage that goes into effect when an employer who has self insurance has its total group health insurance claims attain a certain level, which is usually 125% of its annual projected ...
Health insurance coverage only for a specified catastrophic disease such as cancer. It is important to ascertain the waiting period required, maximum benefits and maximum length of time ...
Amount subtracted from an annuity or from mutual fund proceeds payable to an annuity owner or mutual fund owner to reflect expense fees described in the annuity contract or mutual fund ...
A guarantee of the performance of a contractor. In general, contract bonds are used to guarantee that the contractor will perform according to the specifications of the construction ...
Insurance with two types of policies available: depositors forgery insurance; forgery and alteration. ...
Property damage coverage for mobile agricultural equipment and machinery, including harness, saddles, blankets, and liveries. Perils insured are fire, lightning, vandalism, malicious ...
Formula for a given line of insurance used by property and casualty insurance companies to compare losses and loss adjustment expense with premiums. This shows the amount of each premium ...
Demand without foundation, such as a claim submitted to an insurance company by an insured who caused a loss, or for a loss that never occurred. ...

Have a question or comment?
We're here to help.