Which of the following describes a Health Maintenance Organization (HMO)?

A Health Maintenance Organization (HMO) is structured to provide a network of healthcare providers and facilities that have contracts with the HMO to deliver medical services at reduced costs. The critical aspect of an HMO is that it typically requires members to use the medical vendors within its network to receive the maximum benefits. This means that patients must select a primary care physician from the network, and this physician generally coordinates all medical services, including referrals to specialists.

This design fosters a preventive care approach while controlling costs, but it limits the choices for patients regarding providers outside the network. The other options do not align with the HMO model, as they either suggest unrestricted access to providers or a focus on specific types of healthcare services, which are not key characteristics of HMOs.