What is the difference between an HMO, PPO, and POS plan?
Health maintenance organization (HMO): This is generally the most popular and the least expensive healthcare option of the three major types of plans offered by MDS Insurance Services, Inc. It is also considered by some to be the least flexible. In exchange for a monthly premium, members are entitled to doctor visits, preventive care, emergency medical treatment, and prescription drugs (if elected), all for various copayments. Upon initial enrollment, members are required to select a primary care physician (PCP) from a network of contracted physicians. A PCP is often regarded as a gatekeeper who takes care of routine medical needs, such as checkups and basic prescriptions. If necessary, the PCP issues referrals to specialists, who are also contracted physicians. As a general rule, members of an HMO will not receive any benefit for services received from a noncontracted physician. The only exception to this rule is in the event of a true emergency (a true emergency is determined by the
