In a shorter version, managed care organizations are about two things: health insurance and delivery of health care at low cost. Types of Managed Care Organizations. There are several types of managed care organizations, which will be discussed below. Health Maintenance Organization, or HMO: This is the first form of managed care. The Health Maintenance Organization Act passed in early 1970s had led to the rapid growth of HMOs. HMOs refer to organizations in which physicians, hospitals, and insurance plans are either closely affiliated or in the same organization.