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What is the difference between indemnity plans and managed care plans?

April 26, 2017indemnity managed plans

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What is the difference between indemnity plans and managed care plans?

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Indemnity type plans have no service areas and no contracted providers. Claims are paid on a fee-for-service basis. Managed care plans have specific service areas and contracted providers. You must select a primary care physician and often need pre-approval before obtaining specialist services.