Which of the following is a characteristic of a closed panel HMO?

A closed panel Health Maintenance Organization (HMO) is characterized by a specific network of healthcare providers who work exclusively with the HMO. In this type of plan, many physicians are employed directly by the HMO, which means they are salaried employees rather than independent contractors. This employment model allows for more controlled costs and typically encourages a focus on preventive care and maintaining the health of the enrolled members, as the physicians have a vested interest in the overall health outcomes of their patients.

In a closed panel HMO, the network of providers is limited to those within the HMO, creating a more streamlined and integrated patient care experience. This structure reinforces the importance of utilizing in-network services, further emphasizing the health organization's goals of cost efficiency and preventative care.

In contrast, having frequent changes in coverage can signify instability, which is not a defining characteristic of a closed panel HMO. Likewise, in this context, if physicians were to operate as independent contractors, it would suggest a broader network and not the closed structure typical of these types of organizations. Lastly, closed panel HMOs generally do not provide open access to out-of-network services, as members are typically encouraged or required to use only those providers contracted with the HMO.