Whats the difference between an HMO and a PPO?
This is basically an academic question as HMOs are no longer much of an option for “individual” health insurance in Illinois and in Indiana. The main difference is that HMOs restrict your non-emergency health care coverage to a limited network of physicians and hospitals. On the other hand, PPOs provide varying benefits for services delivered by ANY licensed physician or hospital. There is a tradeoff in that HMOs usually provide more generous benefits.When Midwest HMO membership surged in the mid 80’s, HMO rates were a lot lower than those of traditional health plans, but that isn’t very true anymore.
