### Question
How is the "provider-sponsored organization" defined?


### Answer
The term **provider-sponsored organization** is defined in *42 U.S.C. § 1395w* as follows -

> a public or private entity—


(A) that is established or organized, and operated, by a health care provider, or group of affiliated health care providers,


(B) that provides a substantial proportion (as defined by the Secretary in accordance with paragraph (2)) of the health care items and services under the contract under this part directly through the provider or affiliated group of providers, and


(C) with respect to which the affiliated providers share, directly or indirectly, substantial financial risk with respect to the provision of such items and services and have at least a majority financial interest in the entity

#### Citation:
  - *42 U.S.C. § 1395w*
  - Heading: **CHAPTER 7-SOCIAL SECURITY > SUBCHAPTER XVIII-HEALTH INSURANCE FOR AGED AND DISABLED > Part C-Medicare+Choice Program**

