What is the difference between an HMO & a PPO?

In Pennsylvania, there are two types of health insurance plans available: Health Maintenance Organizations (HMOs) and Preferred Provider Organizations (PPOs). Both types of plans provide coverage for doctor visits, hospital stays, and prescription drugs. However, there are some key differences between the two plan types. An HMO is a plan that generally requires you to choose a primary care physician and to receive all services from in-network providers. To receive care outside of the network, you must typically get a referral from your primary care physician. With an HMO, you usually have a set copayment for each type of service. On the other hand, a PPO is a plan that allows you to receive services from in-network as well as out-of-network providers. However, the costs for services are usually lower when you use in-network providers. Out-of-network providers will typically require you to pay more in the form of coinsurance, meaning you will have to pay a percentage of the total cost of services. In conclusion, the key differences between an HMO and a PPO are the extent of coverage that each plan offers and the associated cost. An HMO generally offers more restrictive coverage and has a set copayment, while a PPO generally offers more extensive coverage but requires you to pay coinsurance.

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What is the difference between an HMO & a PPO?

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