Explanation of PPO insurance.
PPO Health Insurance or Preferred Provider Organization is a health management type of insurance that governs the amount of reimbursement a provider receives and for what procedures. Unlike a traditional health insurance plan a PPO plan has some restrictions but these restrictions are limited and help reduce the cost of the monthly premium. Most PPOs have a deductible that must be met before the insurance begins to pay out. This does not typically apply to routine office visits like yearly checkups but for sick visits, emergency room care, and inpatient stays there is an out-of-pocket deductible that you must pay out before the insurance company will cover your expenses. The amount of the deductible depends on the type of PPO plan and directly affects your monthly premium. The lower the deductible the higher the monthly premium and the higher the deductible the lower the monthly premium. If you are in relatively good health and typically only see the doctor for routine visits and no more than two sick visits a year then signing up for a PPO with a high deductible and a lower monthly premium would suit your needs. You may also want to check out the right deductible.
However if you have a chronic illness such as heart disease, diabetes, renal failure, or Chronic Obstructive Pulmonary Disease (COPD) including emphysema, then choosing a PPO plan with a low deductible and a higher monthly payment would suit your needs. If you have a chronic illness it is more likely that you will have an inpatient visit or see the physician more often and in turn having a low deductible would ensure that you are not paying a lot out-of-pocket. The more expensive monthly premium will pale to the cost of a higher deductible especially if you consistently meet the deductible. Because the deductible is out-of-pocket there is a chance that you could owe a hospital thousands of dollars up front for care. If you have a lower deductible this would not be a problem. The higher monthly premiums would be absorbed into your monthly budget.
With a PPO Health Insurance plan you can choose your doctor from a pre-approved lists of physicians provided by your insurance company. You are free to see any physician within the plan without seeking a referral or changing your primary with you insurance company prior to making an appointment. You also do not need to seek a referral from your primary care physician before you see a specialist. There is typically a small co-pay for most office visit in addition to the deductible. There are certain restrictions in place with each plan. Review your new PPO plan thoroughly when you sign up to avoid getting stuck with unnecessary fees and to insure you are using your plan properly. Time and time again, experts in the industry suggest that you obtain a minimum of three free online insurance quotes.