D545 SECTION 1 GLOSSARY EXAM QUESTIONS WITH CORRECT ANSWERS LATEST UPDATE
2026/2027
• health care - Answers an act or deed between the healthcare provider and the patient to
maintain or improve the patient's healthcare status
• biomedical model - Answers a theoretical framework in healthcare that views illness and
disease as primarily resulting from biological factors
• holistic health - Answers an approach to wellness that simultaneously addresses the physical,
mental, emotional, social, and spiritual components of health
• holistic medicine - Answers the practice of healthcare professionals using a diverse range of
disciplines, religious philosophies, and cultural practices to heal individuals, communities, and
the environment
• accountable care organization (ACO) - Answers a network of doctors, hospitals, and other
healthcare providers that voluntarily come together to provide coordinated, high-quality care to
their patients
• structure - Answers how specific activities are performed to ensure the mission and vision of
the organization are achieved
• functional organization structure - Answers splits the organization into departments based on
the expertise of employees (also referred to as bureaucratic organizational structure)
• matrix organizational structure - Answers a type of organizational design that combines two or
more types of organizational structures, typically functional and project-based
• financing - Answers premiums established through negotiations between employers and the
MCO
• insurance - Answers a financial arrangement that protects against financial loss or liability,
typically by allowing individuals or entities to pool the risk of potential losses in exchange for
regular payments known as premiums
• managed care organization (MCO) - Answers a type of healthcare delivery system that aims to
manage the cost, quality, and accessibility of healthcare services; MCOs are commonly
associated with HMOs, PPOs, and POS plans
• delivery - Answers the provision of healthcare services by various providers in exchange for
payment for services rendered
, • payment function - Answers to determine fees for services, how much a provider should be
paid for services rendered, and the actual payment to the provider after services have been
rendered
• health maintenance organization (HMO) - Answers a type of managed care organization that
provides health insurance coverage through a network of healthcare providers who offer
services to members for a fixed fee
• preferred provider organization (PPO) - Answers a type of managed care organization that
provides health insurance coverage where members can receive care from both in-network and
out-of-network providers, with greater flexibility and higher coverage for in-network services
• integrated delivery system (IDS) - Answers a network of organizations that provides or
arranges to provide an organized variety of services to specific populations and is held
accountable for the outcomes and health status of those populations
• payer-provider integration - Answers a system comprising a merger between the payers of
healthcare and the providers of healthcare to control healthcare costs and improve the delivery
of healthcare services
• consumer-driven health plan (CDHP) - Answers (also known as a high-deductible health plan)
a type of health insurance plan that encourages individuals to manage their healthcare costs
• point-of-service plan - Answers a type of managed care health insurance that combines
features of HMOs and PPOs; it offers a blend of flexibility and cost-efficiency, with an emphasis
on coordinated care
• fee-for-service - Answers a system wherein healthcare is provided as individual units of
service, such as magnetic resonance imaging (MRI) or other X-ray, medical examination, flu
shot, or other service
• preferred provider - Answers a type of organization that provides services based on contracts
with groups of physicians and hospitals that are referred to as preferred providers
• Patient Protection and Affordable Care Act (ACA) - Answers also known as the Affordable Care
Act and Obamacare; a U.S. federal statute enacted in 2010 aimed at expanding health insurance
coverage, reducing healthcare costs, and improving healthcare system efficiency and quality
• health insurance marketplace - Answers system established to facilitate the purchase of health
insurance in organized markets (also referred to as health insurance exchanges)
• healthcare reform - Answers the process of improving the efficiency, accessibility, and quality
of healthcare services, often involving changes to policies, regulations, and practices within
healthcare systems
2026/2027
• health care - Answers an act or deed between the healthcare provider and the patient to
maintain or improve the patient's healthcare status
• biomedical model - Answers a theoretical framework in healthcare that views illness and
disease as primarily resulting from biological factors
• holistic health - Answers an approach to wellness that simultaneously addresses the physical,
mental, emotional, social, and spiritual components of health
• holistic medicine - Answers the practice of healthcare professionals using a diverse range of
disciplines, religious philosophies, and cultural practices to heal individuals, communities, and
the environment
• accountable care organization (ACO) - Answers a network of doctors, hospitals, and other
healthcare providers that voluntarily come together to provide coordinated, high-quality care to
their patients
• structure - Answers how specific activities are performed to ensure the mission and vision of
the organization are achieved
• functional organization structure - Answers splits the organization into departments based on
the expertise of employees (also referred to as bureaucratic organizational structure)
• matrix organizational structure - Answers a type of organizational design that combines two or
more types of organizational structures, typically functional and project-based
• financing - Answers premiums established through negotiations between employers and the
MCO
• insurance - Answers a financial arrangement that protects against financial loss or liability,
typically by allowing individuals or entities to pool the risk of potential losses in exchange for
regular payments known as premiums
• managed care organization (MCO) - Answers a type of healthcare delivery system that aims to
manage the cost, quality, and accessibility of healthcare services; MCOs are commonly
associated with HMOs, PPOs, and POS plans
• delivery - Answers the provision of healthcare services by various providers in exchange for
payment for services rendered
, • payment function - Answers to determine fees for services, how much a provider should be
paid for services rendered, and the actual payment to the provider after services have been
rendered
• health maintenance organization (HMO) - Answers a type of managed care organization that
provides health insurance coverage through a network of healthcare providers who offer
services to members for a fixed fee
• preferred provider organization (PPO) - Answers a type of managed care organization that
provides health insurance coverage where members can receive care from both in-network and
out-of-network providers, with greater flexibility and higher coverage for in-network services
• integrated delivery system (IDS) - Answers a network of organizations that provides or
arranges to provide an organized variety of services to specific populations and is held
accountable for the outcomes and health status of those populations
• payer-provider integration - Answers a system comprising a merger between the payers of
healthcare and the providers of healthcare to control healthcare costs and improve the delivery
of healthcare services
• consumer-driven health plan (CDHP) - Answers (also known as a high-deductible health plan)
a type of health insurance plan that encourages individuals to manage their healthcare costs
• point-of-service plan - Answers a type of managed care health insurance that combines
features of HMOs and PPOs; it offers a blend of flexibility and cost-efficiency, with an emphasis
on coordinated care
• fee-for-service - Answers a system wherein healthcare is provided as individual units of
service, such as magnetic resonance imaging (MRI) or other X-ray, medical examination, flu
shot, or other service
• preferred provider - Answers a type of organization that provides services based on contracts
with groups of physicians and hospitals that are referred to as preferred providers
• Patient Protection and Affordable Care Act (ACA) - Answers also known as the Affordable Care
Act and Obamacare; a U.S. federal statute enacted in 2010 aimed at expanding health insurance
coverage, reducing healthcare costs, and improving healthcare system efficiency and quality
• health insurance marketplace - Answers system established to facilitate the purchase of health
insurance in organized markets (also referred to as health insurance exchanges)
• healthcare reform - Answers the process of improving the efficiency, accessibility, and quality
of healthcare services, often involving changes to policies, regulations, and practices within
healthcare systems
