An HMO can refer to two distinct concepts depending on the context:
- House in Multiple Occupation (HMO)
In British English, an HMO is a residential property where at least three tenants live, forming more than one household, and share common areas such as bathrooms, kitchens, stairwells, or gardens. These properties are often subdivided from larger houses originally meant for single families. HMOs are subject to specific housing and fire safety regulations due to risks associated with overcrowding
- Health Maintenance Organization (HMO)
In the context of health insurance, especially in the United States, an HMO is a type of managed care health insurance plan that provides comprehensive medical services to enrolled members for a fixed prepaid fee. Members typically must select a primary care physician (PCP) within the HMO’s network who coordinates their care and provides referrals to specialists. HMOs emphasize cost control by limiting coverage to providers within their network except in emergencies. They often feature set co-pays, require referrals for specialist visits, and aim to simplify healthcare costs for members
Summary Table
Term| Meaning| Key Features
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House in Multiple Occupation (HMO)| A shared residential property with
multiple households sharing common areas (UK)| At least 3 tenants, shared
facilities, subject to housing/fire safety laws
Health Maintenance Organization (HMO)| A managed health insurance plan
providing prepaid comprehensive care (US)| Network-based care, primary care
physician coordination, referrals required, fixed co-pays
Thus, an HMO can either be a type of shared housing in the UK or a managed healthcare insurance plan primarily used in the US, depending on the context
