HMO, PPO, POS – which right for your company

Which Type of Health Plan Is Best for Your Company?

Having a health insurance for your business might seem like a lot to handle when you’ve already got so much on your plate. However, there are ways that you can save money on insurance costs for your company. Doroshow Insurance can help you navigate the different types of plans to determine which one, or which combination of plans, will be best. Here is a brief breakdown of the different plans available and their varying options.

HMO

A Health Maintenance Organization or HMO plan is a type of plan that involves all patient care being coordinated through a primary care physician. Under an HMO, members see the primary care physician and then coordinate care and specialized services through that physician’s network. This is commonly called the referral process. HMO plans are usually less stress for members. They boast lower premiums and usually incentivize plan members to focus on preventive care.

PPO

A Preferred Provider Organization or PPO healthcare plan operates in many ways similarly to an HMO, but you are not required to work through a primary care physician. A PPO allows members the flexibility to work with any in-network medical provider, or in a specified group of contracted medical providers. 

PPOs are more flexible for individual members because they have more options regarding the medical providers they can see, although out of pocket expenses are typically higher under this type of plan.

POS

A Point of Service or POS health insurance plan combines elements from PPO and HMO plans. At the time of service the member decides if he wants to utilize the HMO or PPO part of the plan. If the member elects the HMO then the member must visit his primary care physician and use the referral process to see a specialist. If the member elects to use the PPO part of the plan than he can go to any provider in the PPO network without a referral but member costs are likely to be higher.

Working with an experienced and highly rated insurance partner like Doroshow Insurance is the key to really breaking down all of these plan types to find out what will work for you. When it comes time for you to find the best health insurance plan, contact Doroshow Insurance to find a plan that fits your business needs best.