A Preferred Provider Organization (PPO) is a kind of health insurance plan that gives people more freedom to choose their healthcare providers than a Health Maintenance Organization (HMO). PPOs have a group of healthcare providers and facilities that they work with, but people can also choose to get care from providers outside of the network. However, the cost for out-of-network care is usually higher.
To use a PPO plan, people need to pay a certain amount of money before the insurance starts covering the cost of their healthcare. Then, they need to pay a part of the cost for each healthcare service they receive. If they get care from providers in the PPO network, the cost is usually lower.
PPOs are different from HMOs because people don't have to choose a primary care doctor or get a referral to see a specialist. This gives people more choice in choosing their healthcare providers and getting care when they need it.
PPOs can be a good option for people who want more choice in their healthcare providers and are willing to pay more for out-of-network care. But, it's important to read and understand the details of the plan, including the costs for both in-network and out-of-network care.