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In the United States a health maintenance organization (HMO) is a medical insurance group that provides health services for a fixed annual fee.
(PREâ1970) Sometimes cited as the first example of a health maintenance organization. (HMO), the Western Clinic in T acoma, Washington, began in 1910 to offer, ex-. clusively through its own providers, a broad range of medical services in return. for a premium payment of $0.50 per member per month. The program was avail-.