An organizational arrangement that provides medical services for a fixed, prepaid fee best describes;

Prepare for the CMA General and Administrative Exam. Use flashcards and multiple-choice questions complete with hints and explanations. Boost your readiness and confidence for the exam!

The correct choice reflects the nature of Health Maintenance Organizations (HMOs), which are designed to provide a wide range of healthcare services to their members for a fixed, prepaid fee. This structure encourages preventive care and efficient service delivery, as the monthly or annual fees cover a variety of services, including doctor visits, hospital stays, and preventive measures without additional charges at the point of service.

HMOs operate on a model that emphasizes managed care, requiring members to select a primary care physician who coordinates their healthcare services. This arrangement helps control costs while promoting the wellness and health of members. Thus, an HMO exemplifies the concept of an organized healthcare system focused on providing comprehensive medical services within a specified budget. The other options relate to different aspects of healthcare or organizational management that do not effectively align with the prepaid service model described in the question.

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