The 1980s has marked the beginning of a new alternative health care delivery system: the preferred provider organization (PPO). This system has developed from the health maintenance organization model and is predominant in California and Colorado. A PPO is a group of providers, usually hospitals and doctors, who agree to provide health care to subscribers for a negotiated fee that is usually discounted. Preferred provider organizations are subject to peer review and strict use controls in exchange for a consistent volume of patients and speedy turnaround on claims payments. This article describes the factors leading to the development of PPOs and the implications for occupational therapy.
This content is only available via PDF.
Copyright © 1984 by the American Occupational Therapy Association, Inc.