Health Care Benefits
Health Maintenance Organization
HMO stands for Health Maintenance Organization. It is a group of healthcare providers, doctors and hospitals, that have contracted to offer their services at a fixed price.
The main advantage of an HMO is the cost. HMOs are offered at a sometimes lower rate to the consumer than other plans and the premiums and copayments can be lower than those for other types of plans
PPOs have a wider range of choices and participating physicians, which is why many people choose them, because they have more control over the healthcare decisions than you would have under an HMO.
Preferred Provider Organization
PPO stands for Preferred Provider Organization which are organizations that are not as restrictive as HMOs. In a PPO you can see whatever doctor you like, but if your choice is out-of-network, you may have to pay more out-of-pocket, but a referral to see a specialist is not normally required.
