What does "managed care" imply in the context of health insurance?

Managed care in the context of health insurance is designed to reduce healthcare costs while ensuring quality care for patients. This is accomplished through a system that coordinates various aspects of patient care and often limits access to a specific network of healthcare providers. By focusing on preventive care, management of chronic conditions, and efficient use of healthcare resources, managed care seeks to control the expenses associated with delivering healthcare services.

The approach typically includes strategies such as requiring prior authorization for certain procedures, negotiating lower rates with providers within the network, and emphasizing routine check-ups and screenings to prevent more costly care later. By implementing these coordinated methods, managed care aims to improve health outcomes while keeping costs manageable for both insurers and policyholders.

In contrast, the other options misrepresent the principles of managed care. While emphasizing individual care without regard to cost might suggest a focus on patient needs, it overlooks the essential goal of managing expenses. Similarly, unlimited doctor visits or unrestricted healthcare spending are counter to the core principles of managed care, which seeks to balance access to care with cost control.