What are the differences between HMO and PPO health plans?

What are the differences between HMO and PPO health plans?

HMO (Health Maintenance Organization) plans require members to choose a primary care physician and get referrals for specialists. PPO (Preferred Provider Organization) plans offer more flexibility in choosing healthcare providers and do not require referrals.

Which one is better for someone who travels a lot?

If you travel frequently, a PPO might be better for you because it allows you to see any doctor without a referral, even out of network, though at a higher cost.

Are there any cost differences between the two?

Yes, generally, HMO plans have lower premiums and out-of-pocket costs, but they have less flexibility. PPO plans usually have higher premiums but offer more choices.

Can I switch from HMO to PPO?

Yes, you can switch from HMO to PPO during the open enrollment period or if you qualify for a special enrollment period.