What are the advantages of an HMO?
HMOs are designed to manage the costs of medical care, which means members enjoy lower out-of-pocket expenses compared to traditional medical insurance. Visits to the doctor’s office, hospital charges and many other medical care expenses are covered at 100% after a small copayment such as $5 or $10 per visit. Generally, prescription drugs, routine physicals, lab tests, vision exams, well-baby care, and maternity visits are covered. HMO plans do not require you to pay an annual deductible before services are covered and usually have no lifetime maximums. HMO providers conveniently take care of most paperwork, so members do not have to complete claim forms.
