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Preferred Provider Organization (PPO)

Preferred Provider Organization (PPO)

Preferred Provider Organizations (PPO), also known as participating provider organizations, are health plans in which you pay less when you receive care from in-network providers. Healthcare providers and physicians reach an agreement with an insurer or administrator to offer a reduced rate to the insurer’s clients. 

Unlike exclusive provider organizations (EPO), PPO plans allow you to use out-of-network providers without a referral, but you will incur additional costs, such as higher deductibles and copayments.

Related Terms:

Copayment / copays

Deductibles

In-network

Out-of-network

 

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