Which benefit structure was first introduced by health maintenance organizations?

The benefit structure that was first introduced by health maintenance organizations (HMOs) is known as first dollar coverage. This concept is centered around the idea that patients receive coverage for healthcare services from the very first dollar spent, rather than reaching a deductible before receiving benefits.

HMOs were designed to provide comprehensive managed care by integrating health services through a network of providers, focusing on preventive care and customer wellness. This model was innovative in that it aimed to encourage patients to seek necessary medical care without the burden of high out-of-pocket costs, promoting utilization of services at lower costs to consumers.

First dollar coverage effectively removes or reduces financial barriers for patients, which aligns with the HMO philosophy of providing accessible healthcare services. By doing so, HMOs incentivized members to utilize preventive services and regular check-ups, which ultimately aided in healthier outcomes for enrolled members.

In contrast, other benefit structures like co-insurance coverage, high deductible plans, and exclusive provider organizations reflect different approaches to managing healthcare costs, often involving more complex cost-sharing mechanisms or restrictions regarding provider access, which do not align with the foundational principles set forth by HMOs.