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PPO

(Preferred Provider Organization)

A PPO is a type of health insurance plan that provides more flexibility in choosing healthcare providers than HMOs, typically at a higher cost. PPO members can see any doctor or specialist without referrals, though using in-network providers results in lower out-of-pocket expenses.

About 47% of U.S. workers with employer-sponsored insurance are enrolled in PPO plans. These plans balance cost and choice, with average annual premiums of $7,500 for single coverage. PPOs generally have higher deductibles ($1,500 average) and coinsurance (20-30%) than
HMO plans but offer greater access to specialists and out-of-network care when needed.
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