The growth of managed care in the U.S. began with the passing of the Health Maintenance Organization Act of 1973. While managed care established by health maintenance organizations, they are now used by a variety of private health benefit programs. Managed care has grown into a huge presence in the U.S, but it is somewhat controversial because its major aim of reducing medical costs has essentially failed.
There is also disagreement as to whether managed care has had any positive impact on the quality of healthcare delivery in the U.S. There are three main types of managed care plans: Health Maintenance Organizations (HMOs), Preferred Provider Organizations (PPOs), and Point of Service (POS) plans.