Accident & Health FundamentalsQuestion 1 of 716
A consumer enrolls in a California Health Maintenance Organization (HMO). Which state agency has primary regulatory authority over that HMO?
a.California Department of Insurance, Consumer Services
b.California Department of Managed Health Care (DMHC)
c.Centers for Medicare & Medicaid Services (CMS)
d.California Department of Public Health (CDPH)
Explanation
Under the Knox-Keene Health Care Service Plan Act, California HMOs are regulated by the Department of Managed Health Care (DMHC), not the CDI. The CDI regulates indemnity health insurance and PPO products, but full-service HMOs fall under DMHC.
Law Reference: Cal. Health & Safety Code §1340 et seq. (Knox-Keene Act)This topic, taught in full in the California Life & Health Insurance Producer Exam guide. California Life & Health Insurance Producer Exam — Complete Study Guide (2026) — PDF + EPUB, $19.99 · 14-day refund →
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