Preferred Provider Organization (PPO): You or your employer receive discounted rates if you use doctors from a pre-selected group. If you use a physician outside the PPO plan, you must pay more for the medical care.

Health Maintenance Organization (HMO): Health Maintenance Organizations represent “pre-paid” or “capitated” insurance plans in which individuals or their employers pay a fixed monthly fee for services, instead of a separate charge for each visit or service. The monthly fees remain the same, regardless of types or levels of services provided, Services are provided by physicians who are employed by, or under contract with, the HMO. HMOs vary in design. Depending on the type of the HMO, services may be provided in a central facility, or in a physician’s own office.

Point of Service (POS): A health plan that allows Members to choose to receive services from a contracted  or non-contracted network provider.  Usually the Member pays higher costs when they use an out of network provider.