What type of organization is designed to reduce cost and improve quality through coordinated care?

The correct choice is a Managed Care Organization (MCO) because it is specifically structured to manage the cost, quality, and access to healthcare services through various strategies such as a network of providers, negotiated fees, and utilization management. MCOs implement coordinated care by facilitating connections between healthcare providers and patients, ensuring that care delivery is efficient and effective, thus reducing unnecessary expenses and improving patient outcomes.

In a Managed Care Organization, members typically have a primary care physician who oversees their healthcare and coordinates referrals to specialists, which helps in maintaining a holistic view of the patient’s health needs. This centralized approach is crucial for monitoring and controlling healthcare costs while ensuring that standardized guidelines for care are followed to uphold quality.

The other options, while related to healthcare delivery, do not encapsulate the same level of coordination and cost controls as MCOs. Independent practice associations may offer some level of coordination among independent providers, but they do not operate with the same integrated management model as MCOs. Exclusive provider organizations and point-of-service plans are types of managed care plans but are more limited in their structure and services compared to a Managed Care Organization, which generally encompasses a wider array of coordinated care strategies.