ABSTRACT
This chapter has two objectives. The first is to present a breakdown of the operations contained in a 'typical' managed care company (as far as such a specimen can be said to exist). In doing so, it serves to highlight the complexity of operating in the US health care market and helps to explain the unusually high administrative costs. The second objective is to give a pointer to some functions NHS authorities do not undertake very well at present, and highlight those additional tasks that would have to be undertaken should the UK turn to an increasing reliance on private health insurance yet retain a core of publicly funded services and/or continue to devolve purchasing to practice level.
