Reference no: EM133308409

Question

Dr. Paula Martinez has a primary care clinic in downtown Corpus Christi that accepts a variety of health insurance plans. Recently, one of the biggest employers in the area began contracting with a managed care organization to provide a more cost-effective healthcare plan to their employees. Dr. Martinez is considering whether she wants to accept this healthcare plan at her clinic, given the ways she has heard other doctors describe their managed care experiences. She's also concerned the managed care plan won't reimburse enough, as it will require Dr. Martinez to accept drastically discounted fees for the services she provides. Why might Dr. Martinez, and some of the other doctors she knows, have issues with managed care? Why might Dr. Martinez find accepting the managed care plan still financially rewarding, despite the discounted fees?