How arehmo and ppo similar?

Both HMO (Health Maintenance Organization) and PPO (Preferred Provider Organization) plans attempt to limit medical expenses by restricting your choice of healthcare providers. With a typical HMO plan, you will have to coordinate most of your care through a primary care physician (PCP) who will refer you to specialists as needed. By comparison, a typical PPO plan will allow you to choose your own doctor and see specialists without a referral, but your claims will only be paid at the highest level when you see health care providers that participate in the insurance company's network of 'preferred providers.'

Historically, HMO plans were known for placing a special emphasis on general wellness and preventive medicine, but many PPO plans now provide coverage for preventive care as well. The health reform bill President Obama signed into law on March 23, 2010 will strengthen the preventive care coverage provided by many health insurance plans.

The information provided here is only intended for the purpose of general comparison. In fact, many PPO plans function almost like HMO plans, and vice versa. If you're shopping for coverage, a licensed health insurance agent can help you understand which health insurance plan is best for you, at no extra cost.