A form of health insurance plan that usually restricts coverage to doctors who work for or with the HMO. Except in an emergency, it will not cover out-of-network care.
To be eligible for coverage under an HMO, you may be required to live or work in its service region. As a result, the agreed-upon pricing is usually cheaper than their standard charges. In exchange for lower rates, insurers pay a fee to the PPO to get access to the provider network. PPO members have the freedom to use any provider within their network. Monthly premiums for HMO plans are often care lower.
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