Which of the following is most characteristic of a managed care organization?

A managed care organization (MCO) is specifically designed to manage cost, utilization, and quality of care. One of the most defining features of such organizations is their use of limited provider networks. This means that MCOs establish relationships with a select group of healthcare providers, such as doctors and hospitals, which enables them to negotiate lower rates and provide care at reduced costs for enrollees. By concentrating on a specific network, MCOs can effectively keep healthcare expenses in check while ensuring that quality care is delivered.

This model works in favor of both the organization and the enrollees, as it helps to streamline services and manage patient care more efficiently. Additionally, limiting the provider network allows MCOs to implement care standards and protocols more consistently, further supporting their goals of cost management and quality assurance.

The other options do not align with the core characteristics of MCOs. High premiums typically do not characterize managed care as they focus on reducing costs for enrollees. Low cost-sharing can occur within MCOs, but it is not a universal trait; it varies based on the specific plan and its structure. Guaranteed coverage is a broader concept associated with many insurance models but not distinctly tied to the principles of managed care, as MCO