Point-of-Service (POS) and Preferred Provider Organization (PPO) plans both help cover medical costs, but have their own way of offering coverage. The biggest contrasts are seen in their coverage networks, the requirement to choose a primary care physician (PCP), and costs.
Where Do POS Plans Offer Coverage?
Like many other health insurance policies, POS plans offer coverage within a network. A network involves physicians and healthcare facilities under a contract with that plan.
POS plans cover treatments within a network, but may impose coinsurance costs for out-of-network treatments and treatments from specialists you see without first obtaining a referral from your primary doctor.
Where Do PPO Plans Offer Coverage?
PPOs have a coverage network, but have a more relaxed approach when it comes to applying coverage. Policyholders get better discounts for seeing providers within the coverage network, but a PPO will still provide some coverage for out-of-network treatments. Here, in-network treatment is heavily incentivized instead of strictly mandated.
Do I Need To Choose A Primary Care Doctor With A POS Plan?
POS plans require choosing a PCP. This doctor will oversee the course of all your medical treatments, making him or her serve as the initial contact for anything involving medical care. You will get coverage as long as this PCP is within the POS plan’s coverage network.
Do I Need To Choose A Primary Care Doctor With A PPO Plan?
PPOs grant you the freedom to forgo choosing a primary care doctor. This way, you have the liberty to seek treatment from specialists in your area without having to consult a PCP beforehand.
How Do The Differences Between POS and PPO Plans Affect Cost?
Since POS plans have more limits for coverage, they are cheaper by default. Premiums are lower, and these plans oftentimes do not have a deductible. Despite the limitations, your coverage will be effective right away.
PPO plans are more expensive due to the amount of flexibility policyholders have. Its features can be seen as bonuses that can be purchased for an extra fee. This means you will pay more for PPO premiums, and PPOs also require paying a deductible before coverage goes into effect.
Get The Plan That’s Right For You
At The Health Insurance Duo, you have access to health insurance coverage you won’t find anywhere else. We put you first, and we will get you the health insurance policy that best fits your needs at the price you deserve. Call us today at (817) 501-9154.