PPO: The Basics
PPO’s are also known as Paid Provider Organizations. These plans are rooted in a large group of caregivers, very much like an HMO. PPO’s, however, have fewer restrictions. The PPO organizations are typically loosely organized, allowing the insured person and caregivers more flexibility in making decisions and taking more actions independent of outside influence.
It is easier to stay with your preferred doctor in a PPO. You should know, though, that if your physician is not a member of your PPO, you will have to either pay for any treatment, in whole, from your personal income, or you may have to pay the difference between your provider’s charges and the PPO’s set price for the same visit to a member provider.
PPO’s are usually pricier than HMO’s, but they are very popular nonetheless. Many people choose the option to go with a PPO because they offer more flexible options. It is easy to understand why many people would choose the PPO plan, especially when going with an HMO would result in no longer being able to see the family doctor who knows you and your medical history well and that you are more comfortable seeing.