What is a preferred provider organization (PPO)?

A Preferred Provider Organization (PPO) is a type of health insurance plan available in Washington. It is a managed care plan that typically offers a network of health care providers, such as hospitals, physicians and pharmacies, and allows members to receive care from those providers at a discounted rate. In addition, members of a PPO may also be able to access out-of-network providers, but at a higher cost. The benefit of a PPO is that members can typically receive care from any provider they choose without obtaining a referral from their primary care physician, as is required by many other types of insurance plans. This provides members with greater flexibility and choice when selecting a provider, while still receiving a discounted rate. Additionally, the PPO pays part of the expenses associated with costs such as office visits and hospital stays, which can help offset the costs of receiving medical care. In Washington, many employers offer PPO coverage to their employees as part of their employee benefits package. In short, a Preferred Provider Organization (PPO) is a type of health insurance plan that offers members access to a discounted network of health care providers, and often pays a portion of the associated costs.

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What is a preferred provider organization (PPO)?

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