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PPO may be organized by the Providers themselves or by other organizations, such as insurance companies the Blues. Like HMO they may take the form of group practices or separate individual practices, they provide a broad array of medical services such as Physician?¦s services, hospital care, laboratory costs?K or they may be limited to hospitalization or physician?¦s services. The benefit plans that contract with PPO to obtain lower cost care for plan members.
How PPO+HMO differ? First the preferred providers are paid on a fee for a service basis as their services are used. Second employees and their dependants are not required to use the practitioners or facilities that contract with PPO; rather choice can be made each time medical care is needed, and benefits are also paid by nonnetwork providers, but employees are offered incentives to use network providers; they include lower or reduced deductibles and co-payments as well as increased benefits...
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