Discuss the differences and similarities between Managed Care Organizations (MCOs) vs. Accountable Care Organizations (ACOs

Discuss the differences and similarities between Managed Care Organizations (MCOs) vs. Accountable Care Organizations (ACOs). Given the current health care environment, provide a solid speculation to how MCOs and ACOs may transform to meet the needs of its consumers. Be sure to support your thoughts and analysis with scholarly sources.

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Managed care organizations are entities that manage the funding, insurance, delivery and payment to offer medical care services. In terms of funding, the employer and the MCO negotiates a fixed premium per enrollee and the medical services offered in the contract. Secondly, MCOs act as the insurance service provider. They collect premiums from enrollees. The MCOs cost ranges between 15 and 25 percent with the MCOs assuming any risk that medical care expenses surpass contract…

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