What is the main benefit of using an HMO?

The main benefit of using a Health Maintenance Organization (HMO) is typically lower healthcare costs. HMOs operate on a model designed to keep healthcare expenses down, often resulting in lower premiums and out-of-pocket costs for members. By requiring members to choose a primary care physician and obtain referrals for specialist services, HMOs can manage and coordinate care more efficiently, reducing unnecessary services and ensuring that care is provided in a cost-effective manner. This structure helps to control healthcare spending, which is a significant advantage for individuals looking for affordable insurance options.

While flexibility in choosing providers, guaranteed higher quality of care, and immediate access to specialists without referrals are attractive features associated with other types of health plans, they are not characteristic of the HMO model, which prioritizes cost control over these aspects.