Choosing the Right Health Insurance: HMO vs. PPO Plans

Choosing the right health insurance plan can be confusing. When open enrollment rolls around at the office, it can be easy get lost in the alphabet soup of acronyms and the dizzying array of coverage options. Fortunately, most options can be boiled down to two basic types of managed health care plans: Health maintenance organizations (HMOs) and preferred provider organizations (PPOs).

Health Maintenance Organization Plans

A HMO contracts with health care professionals and facilities to create a “provider network.” If you choose HMO insurance, you’ll typically just pay a small co-payment …