Preferred Provider Plans
A Preferred Provider Plan (PPO), allows a customer to select from a select number of plan doctors and hospitals. A PPO plan requires the selection of a primary provider and then all future referrals go through the selected physician. Plan coverage can include co-pays and deductibles and usually have a coverage cap and an annual out of pocket maximum. The PPO plan is the most popular offering of private health insurance companies.

Health Maintenance Organization
The Health Maintenance Organization, (HMO) requires that you use the specific doctors and hospitals contained within the plan. Usually an HMO plan premium offers more coverage and can cost less than the traditional Preferred Provider Plan option. You give up a lot of the choice associated with a PPO plan.

Individual Coverage Plan
An Individual Coverage Plan allows for open access to all doctors and hospitals without restrictions. Most insurance companies offer these plans as an expansion of their traditional Preferred Provider Plan offering. The main difference is you can choose any doctor or hospital that you are comfortable using. The premium costs are usually higher for this flexibility and some deductible costs may also cost more.

Health Savings Plan
Health Savings Plans or (HSA’s) are a new and interesting way to purchase health care. The plan requires a tax deductible investment deposit and the plan coverage is usually a low cost high deductible plan. The individual policy owner uses the money in the deposit account to cover costs until the deductible is met then coverage begins. This plan type has proved to be a very cost effective alternative for some individuals.