If you want your new health insurance to start on January 1st then you must enroll before December 15th. You can still enroll until January 15th, but your policy won’t start until February. We know you’ve been hearing OEP over and over the last few months, but that’s because we can’t stress enough how important it is. Not only is this the only time you can enroll in a new plan. This is the only time you can review your current plan and make sure you have all of the coverage you need within your budget. You’re in control of your health and there’s plenty of plan and carrier options out there ready to help you stay in control.
Guaranteed Coverages
The Affordable Care Act (ACA) brought a lot of change to the health insurance industry. All of which center around making sure everyone has access to affordable coverage. The ACA introduced the “10 essential benefits”. Which are 10 health care benefits that every marketplace plan must cover regardless of tier, plan type, cost, or provider.
Ambulatory patient services
Emergency services
Hospitalization
Laboratory services
Mental health and substance use services
Pregnancy, maternity, and newborn care
Prescription medications
Preventative and wellness services and chronic disease management
Pediatric services
Rehabilitative and habilitative services
Not only are health plans required to cover these benefits. Insurers are also prohibited from denying or charging more for a plan based on pre-existing conditions. So thanks to the ACA you are guaranteed to get a plan that covers all of your basic needs without having to pay an arm and a leg.
Your Options
You’ve got nothing but options during the OEP, from plans to plan tiers to possible subsidies and then some. Let’s go over the basics and give you a good starting point in your search.
The first thing you have to do is choose a plan type. While every Marketplace plan is legally required to cover the “10 essential benefits”. Plans can offer extra benefits and they can all be structured differently. So, this step is a big one because it sets the foundation for the coverage you have.
HMOs offer you the option of choosing from a local network of participating physicians, hospitals, and other healthcare providers and facilities. As part of these health insurance policies, you must choose a primary care physician (PCP) from this network. Your primary care physician (PCP) will get to know you and help you organize all of your medical care. They are also responsible for referring you to any specialists. Without this recommendation, your HMO would not cover a specialist visit. A HMO plan’s out-of-pocket costs are frequently lower than those of other types of health plans as long as you stay in-network. In general, an HMO may make sense if you prioritize lower expenses and don’t mind using a PCP to oversee your treatment.
PPOs offer a vast network of participating providers, so you can choose from a wide range of hospitals, clinics, and healthcare facilities. Unlike HMOs, PPOs provide some coverage for providers outside of their network, but not as much as they would for an in-network provider. Another significant distinction between PPOs and HMOs is that you aren’t required to choose a PCP and you can see a specialist without a referral. A PPO is often a smart option if you want more control over your options and are willing to pay extra for it. It would be especially useful if you travel frequently because you would not have to see a primary care physician.
Exclusive Provider Organization (EPO)
EPOs also allow you to choose from a network of participating providers. Except in cases of emergency, most EPO plans do not cover care outside of their network. As a result, if you see a provider or facility that is not part of the plan’s local network, you will most likely be paying for the whole cost of services. As for PCPs, EPOs can go either way, some require you to choose a PCP and others don’t, it just depends on the insurance company you choose. In either case, as long as the specialist is in the plan’s network, you will not require a referral from your primary care physician. If you need cheaper monthly rates and are ready to pay a larger deductible when you need medical treatment, an EPO plan may be for you.
Point of Service (POS)
POS plans combine the benefits of PPOs and HMOs. A POS’s provider network, like an HMO, is often smaller than a PPO plan, and in-network care expenses are typically lower, as with a PPO. In POS plans, you must select a primary care provider (PCP) from a network of physicians and other primary care specialists. If you need to see a specialist, you have to get a referral from your PCP.
However, just like with PPO, you have the option of seeing in-network or out-of-network experts. However, if you visit an out-of-network provider, your part of the costs will be higher, and you will be responsible for submitting any claims. POS insurance plans are a terrific option for many people, especially if you’re looking to save money and don’t need out-of-network healthcare services. If you are prepared to coordinate your care through a primary care physician, a POS plan may be perfect for you.
Health Expense Accounts
There are also separate savings plans you can buy to help you save up money specifically for medical costs.
An HRA, or health reimbursement arrangement, is a form of health expense account provided and owned by your employer. Because they own the HRA, your employer is the only one who can contribute to it. They can also determine if you can roll over unused cash to the next year. The money in it is used to pay for eligible expenses including medical, pharmaceutical, dental, and vision care, as defined by the employer.
A health savings account (HSA) is a bank account that you can use to pay for qualifying health care bills or to save for retirement. An HSA is available when combined with a qualified high-deductible health plan (HDHP), which has lower premiums/plan contributions and greater deductibles than a regular health plan. If you have an employer-sponsored health plan, the account is opened through the HSA provider chosen by your company. You, your employer, and others can contribute to your HSA up to a yearly limit determined by the IRS.
Flexible Spending Account (FSA)
An FSA is an employer-sponsored savings account that helps manage out-of-pocket healthcare bills. FSAs are tax-advantaged accounts, which means you can contribute to them before taxes and spend the money tax-free. FSAs allow account holders to save for eligible healthcare expenses by deducting pre-tax money directly from their paychecks. FSA funds can be used to cover deductibles, co-pays, and medical visits for you, your spouse, and any qualified dependents. Employers may contribute to their employees’ FSAs, but they are not obligated to do so.
Health Insurance Subsidies
Marketplace plans have two types of subsidy. The first type, known as the premium tax credit, lowers your monthly insurance costs. The cost sharing reduction (CSR) is a sort of financial aid that reduces your deductibles and other out-of-pocket payments when you visit the doctor or stay in the hospital. To get either sort of financial aid, you must enroll in a health insurance Marketplace plan.
Premium Tax Credit
A premium tax credit, sometimes known as a premium subsidy, is a tax credit that reduces or eliminates the amount of money that you would otherwise have to pay for getting individual or family health insurance. Unlike other tax credits, the premium tax credit can (and typically is) given upfront and all year. Each month, the IRS gives money to your health insurer, so you don’t have to pay as much yourself. Your tax return is then compared with the premium tax credit the following spring. You can also choose to pay full price for a health plan in your state’s exchange and then get the full premium tax credit on your tax return. Few people do this, however, because the cost of coverage without the advance premium tax credit is often out of reach for those who do qualify for the premium tax credit.
You must apply for coverage through the Marketplace and give information about your age, residence, household size, citizenship status, and expected income for the following year in order to receive the premium tax credit. Following the submission of the application, you will receive a decision indicating the amount of premium tax credit you qualify for. You can then choose to have the tax credit paid in advance, claim it later when filing your tax return, or a combination of the two.
Who’s Eligible?
To be eligible for the premium tax credit beginning in 2024, you must meet the following requirements:
Have a household income of at least the Federal Poverty Level (FPL), which is $14,580 in 2024.
Lack of affordable coverage through a workplace (including a family member’s employer)
Not be eligible for Medicare, Medicaid, or the Children’s Health Insurance Program (CHIP).
Have U.S. citizenship or proof of legal residency (Lawfully present immigrants with household incomes less than 100 percent FPL may also be eligible for tax subsidies through the Marketplace if all other eligibility standards are met).
If you’re married you must file your taxes jointly.
Cost Sharing Reduction
Cost sharing reductions are the second type of financial aid available. When you utilize covered health care services, cost sharing reductions reduce your out-of-pocket costs related to deductibles, copayments, and coinsurance. Cost sharing reductions are available to anyone who qualifies for a premium tax credit and has household incomes ranging from 100 to 250 percent of the poverty line. Cost sharing reductions (CSR) are only available through silver plans, as opposed to the premium tax credit, which can be applied to any metal level of coverage. CSRs are applied to a silver plan for qualified individuals, basically making deductibles and other cost sharing more comparable to that of a gold or platinum plan. Individuals earning between 100 and 250 percent of the FPL can use their premium tax credit to any metal level plan, but they can only receive cost sharing subsidies if they choose a silver-level plan.
Health Plan Tiers
When you buy health insurance through the federal or state Marketplace, the plans available are divided into four metal tiers: bronze, silver, gold, and platinum. The metal tiers allude to the portion of your medical treatment that each tier will cover, not the quality of care you will receive with one of these plans. Which plan tier you pick determines the amount of the bill you pay. The higher the coverage, the higher the cost, but the less you will have to pay out of pocket.
Bronze plans will cover 60% of costs; you will pay 40%
Silver plans will cover 70% of costs; you will pay 30%
Gold plans will cover 80% of costs; you will pay 20%
Platinum plans will cover 90% of costs; you will pay 10%
Why You Need Health Insurance
The most important advantage of having health insurance is having access to the care you need. Health insurance provides you with access to a vast network of doctors, specialists, hospitals, and laboratories. This network collaborates with you and with one another to assist you in focusing on prevention and wellness. In fact, the majority of healthcare plans provide free preventative services, such as immunizations and testing. To help you stay healthy and avoid illnesses and their consequences.
Furthermore, the Affordable Care Act requires Marketplace plans to cover pre-existing diseases. This means that even if you have a pre-existing condition, you can receive care without being rejected coverage or charged extra because of it. Because you’ll have regular access to the doctors and experts you need, your healthcare plan will also help you manage your care for any chronic illnesses you’re living with.
Your health insurance covers all of the greatest strategies to maintain your health. Having access to this type of continuous care can essentially lead to a longer and better quality of life. According to the National Library of Medicine, persons between the ages of 17 and 64 who did not have health insurance had a 40% higher mortality risk than those who did!
How EZ Can Help
Working with an agent saves you time and stress because you won’t have to decipher legal language or read fine text. Agents handle all of the legwork. So, you may rest assured that your coverage will best match your financial and medical requirements. Not to mention, EZ agents can save you hundreds of dollars on your health insurance premiums each year. We accomplish this by scouring the market for the most affordable plans, both on and off the market. In addition to locating and utilizing any available savings.
We don’t only assist you in finding a plan, we also assist you in keeping it up to date. When the time comes, we are also here to help you in filing claims with your insurance company and renewing your policy. To begin, enter your zip code in the box below. Alternatively, contact 877-670-3557 to speak with one of our licensed agents.
Everyone needs health insurance to cover them in case of an emergency or unexpected illnesses. It’s also best to have health insurance for things like checkups and medications that keep you from getting sick in the first place. Unfortunately, there are so many choices in health plans that it can be hard to figure out which type is best for you. To make sure you’re covered when you need it, it’s important to choose a plan that not only fits your needs but also your wallet. A Point-of-Service (POS) plan is one of the many things you can do. Even though these plans aren’t as common as HMOs and PPOs, it’s still a good idea to look into them.
What Is A Point-of-Service Plan?
A point-of-service (POS) plan is a type of managed-care health insurance plan that gives different benefits based on whether the policyholder uses in-network or out-of-network healthcare providers. You can choose whether or not to stay in the network each time you need health care services. With this type of insurance, all of your costs rely on the “point” of service, which is the doctor or hospital where you get care. A Point of Service (POS) plan has some of the same benefits as HMO and PPO plans, but the amount of benefits depends on whether you get your care from a provider in the health insurance company’s network or from a provider outside of the network.
How Point-Of-Service Plans Work
A POS plan begins like an HMO plan, you have to choose a primary care provider (PCP). Your PCP is in charge of coordinating your health as well as giving you referrals to see specialists, which will not be covered without a referral. A POS is also similar to a PPO in that it still covers some services that you get out-of-network, but you will have to pay more than you would for in-network care. The POS plan will pay more for a service outside of the network if the primary care doctor sends the policyholder there instead of the policyholder going outside the network without a recommendation.
The premiums for a POS plan are between those of an HMO, which are cheaper, and a PPO, which are higher. Co-payments are usually only $10 to $25 per visit when you go to a doctor who is in your plan’s network. POS plans also don’t have fees for services that are covered by the plan. This is a big difference from PPOs. POS plans cover the whole country, which is good for patients who move a lot. Out-of-network costs tend to be high for POS plans, which is a bad thing. When a deductible is high, it means that patients who use services outside of their plan’s network will have to pay the full cost of their care until they hit the deductible. If a patient never uses out-of-network services on a POS plan, they might be better off with an HMO because the premiums are cheaper.
Point-of-Service Cost
On the Affordable Care Act (ACA) marketplace, a POS plan costs an average of $505 per month for a 30-year-old, $568 per month for a 40-year-old, and $794 per month for a 50-year-old. On the ACA marketplace, the price of a POS health insurance plan relies on a number of things. Some of the things that affect how much you pay for health insurance are:
Age
Where you live
Tobacco use
Plan tier
Dependents
Plan design
Insurance Company
Additionally, the costs of your plan rely on where you get coverage. For instance, the cost of individual health insurance plans bought directly from an insurance company is different from the cost of plans bought through the ACA marketplace. If your workplace offers a POS plan, you can expect to pay much less because the premiums for employer-sponsored plans are subsidized.
Advantages and Disadvantages of Point-of-Service Plans
POS plans often cost less than other types of health insurance, but they only cover a smaller number of doctors. You can see doctors who are not in their network, which is a good thing, but it will cost you more. Each type of insurance plan has pros and cons. Knowing the pros and cons of POS insurance plans can help you decide if it’s the right choice for you and your family.
Advantages
Affordability – Since POS plans are a mix of PPOs and HMOs, their premiums aren’t always the cheapest. However they are still affordable. In fact they actually cost less than PPOs. Affordability comes into play with in-network copays. POS plans don’t make you pay your deductible before getting coverage. Instead, you pay a copay every time you see an in-network provider. This is beneficial if you’re working within a budget.
Out-of-Pocket Limits – With a POS plan, you have to meet your deductible before any out-of-network care will be covered, but the deductible is lower than a PPO plan, and there are limits. The out-of-pocket limit is set so that you will never spend more than a certain amount for healthcare in a year. Once you meet that limit, your insurance will pay for all of your doctor visits and treatment, both in and out of the network.
Flexibility – With a POS insurance plan, you have to pay your deductible before you can get coverage from a provider who is not in your network. However, the yearly cost is less than PPO deductibles, and you can’t pay more than a certain amount during the year. Once the out-of-pocket limit is met, your insurance will pay for all of your doctor visits and treatments.
Disadvantages
Costs – Even though POS plans are cheaper than PPO plans, which is a benefit, they can still be as expensive as HMO rates. If you don’t fully understand your plan, you may be paying more than you would for another type of health insurance. For example, if your PCP is not in the network, you’ll pay more to see them than if they were in the network of your HMO.
Confusing – Since POS insurance plans are less popular than HMOs and PPOs, they can be hard to understand, making it hard to know how much you’ll pay when you see a doctor or specialist.
Paperwork – These plans also require a lot of paperwork if you want to see a doctor who isn’t in their network and pay their fees up front, which may not be possible with your budget. After seeing the doctor, you’ll need to file a claim for repayment and wait for a decision, which can be scary.
Most of the time, HMO plans cost less than other plans. The premiums and out-of-pocket costs for HMO health insurance are much cheaper than those for POS plans. Even though HMO health insurance is less expensive than POS health insurance, it has fewer benefits. Unless it’s an emergency, HMO plans don’t cover care from doctors who aren’t in their network. If you go to a source who is not in your network, you have to pay for the whole service. HMO plans require you to work with a primary care provider and get a referral to see an expert, just like POS plans. Because care from outside the network isn’t covered, HMO members have access to a much smaller network of general care providers, specialists, and hospitals.
One of the most popular types of health insurance is PPO. You don’t need a referral to see an expert if you have PPO health insurance, and you can see a doctor in or out of your network. PPO health insurance is often a good choice if you don’t mind taking care of yourself. In the ACA marketplace, the average monthly rates for PPO and POS plans are about the same.
POS Vs. EPO
An Exclusive Provider Organization (EPO) plan is similar to an HMO plan. An EPO plan pays for medical services when you go to a source in the plan’s network. If you go to a doctor who is not in your network, you will have to pay the whole price (except in an emergency). However, if you have EPO insurance, you usually don’t need a primary care provider or a referral to see an expert. If an expert is part of the EPO’s network, your insurance company should pay for the service. POS plans tend to be more expensive than EPO plans in terms of cost. In general, health insurance plans that cover care outside of the plan’s network cost more than plans that only cover care within the network.
Working With EZ
There are a lot of different kinds of health insurance plans to choose from. So, it all comes down to what you want, how much money you have, and how healthy you are. The best way to find the right plan for you is to look into what each plan has to offer. So, you can get the most service for as little money as possible. Remember that health insurance is important, even if you’re in good health most of the time. You never know what could happen, so it’s best to be safe. To get started, just type your zip code into the box below. Or call 877-670-3557 to talk to one of our certified agents.
When you’re shopping for health insurance, you’ll come across several plan types to choose from. Two of which are Health Maintenance Organizations (HMOs) and Preferred Provider Organizations (PPOs). While there are several other options, these two are the most common. Both plans provide various types of coverage, including network sizes, costs, and coverages outside of the network. You will want to make sure the plan you choose will fit all of your needs and allows you to stay within budget. Choosing one isn’t as difficult as it may seem. Below we’ve detailed both of these options and compared them for you.
An HMO is an affordable health insurance plan that provides a network of healthcare providers to choose from. HMOs offer cheaper coverage because their networks are smaller than other plan’s networks. HMOs are known for their lower lates, but that comes with less flexibility. The network is the key to this type of coverage. Providers within this network such as doctors, hospitals, labs, and specialists all have contracts with the insurance company. Meaning they are paid to offer you, the policyholder, a variety of health services for less. Typically you’ll find that these networks operate in a specific geographic area. Meaning you must see providers within that area. It also means that any fees associated with the plan will be based on the population of your area. For example, heavily populated areas with higher cost of living will result in higher fees. Even though HMOs offer less flexibility, their premiums are lower than other plans. Their smaller networks and the fact that you are being directed to the plan’s providers rather than out-of-network providers, means the savings pass directly to you.
With PPO plans, you have much more freedom in choosing your doctors and hospitals. Staying in-network always provides the best benefits because you pay less for those services. However, unlike HMOs, you are not restricted to in-network providers, but it will cost you more than seeing in-network providers. PPO plans are generally more expensive due to their higher monthly premiums. Nonetheless, the increased flexibility more than compensates for the higher costs. You are not required to choose a primary care provider (PCP) and you can visit any doctor, including specialists, without a referral. All of this means you pay more and you are responsible for managing and coordinating your own care without a PCP, unless you decide to choose one.
How They Differ
Now that you know the basics of each plan, let’s compare the differences between HMOs and PPOs including network size, the ability to see specialists without referrals, costs, and out-of-network coverage. Compared to PPOs, HMOs are much more affordable. However, PPOs offer a lot more flexibility with their specialists and larger networks. As well as their out-of-network coverage. Below we’ll go into these comparisons a little more.
Networks
Both HMO and PPO plans have provider networks. In exchange for access to a health plan’s members, network providers agree to offer discounts to reduce health care costs. This saves money for health insurers, but it also saves money for you, the policyholder; savings for the insurer can translate into lower premiums, deductibles, and copayments. Overall, PPO networks include more physicians and hospitals than HMO networks, giving you more options. However, networks will vary from insurer to insurer and plan to plan; therefore, it is best to look into each plan’s network before making a decision.
Primary Care Physicians
The majority of HMOs will require you to choose a primary care physician, who will serve as your primary point of contact for medical care. If your primary care physician determines that specialized care is medically necessary, he or she will refer you to a specialist for treatment. Specialists costs will not be covered without a referral from a primary care physician. PPOs, on the other hand, typically do not require the selection of a PCP, and you can typically see a specialist without a referral and those costs are covered.
Out-Of-Network Coverage
For both PPO and HMO plans, you will get the lowest costs for care if you use in-network providers. The coverage for out-of-network care varies significantly between these two types of plans. Out-of-network services are typically not covered at all by HMOs, except in the case of an emergency. PPO plans typically provide some coverage for these services, but as always, staying in the network will always mean less money out of your pocket.
Costs
PPO plans will typically be more expensive than HMO plans due to the additional coverage and flexibility they provide. When we consider health plan costs, we typically consider monthly premiums. HMO premiums are typically less expensive than PPO premiums. The plan’s deductible is also another factor you need to consider. This is the amount of out-of-pocket health care expenses you must pay before your plan begins to pay for your expenses. When HMOs have deductibles, they tend to be less expensive than PPO deductibles. Below we’ve provided examples of costs for each plan.
HMO Costs
These are examples based on average costs, they can vary depending on your age, where you live, plan tier, as well as number of dependents.
21-year-old – Single $342, couple $684, couple with 1 child $944
30-year-old – Single $390, couple $780, couple with 1 child $1,040
40-year-old – Single $438, couple $877, couple with 1 child $1,1,37
50-year-old – Single $613, couple $1,226, couple with 1 child $1,487
Along with lower premiums, HMOs typically have lower or sometimes no deductibles. A copayment is instead required for each clinical visit, test, and prescription. Copayments for HMOs are typically $5, $10, or $20 per service, which reduces out-of-pocket expenses and makes HMO plans more affordable.
PPO Costs
As with all plans, the premiums are determined by age, location, and the number of dependents covered by the plan. For instance, average monthly premiums for PPOs are:
21-year-old – Single $404, couple $807, couple with 1 child $1,113
30-year-old – Single $458, couple $916, couple with 1 child $1,222
40-year-old – Single $516, couple $1,032, couple with 1 child $1,528
50-year-old – Single $721, couple $1,442, couple with 1 child $1,748
PPO plans typically have higher deductibles than HMOs. Generally the annual deductible for a PPO is around $1,500. If your PPO plan includes a copayment for office visits, you will only pay a small copayment when you see a doctor in your preferred network. If your PPO plan does not include a copayment benefit, your visit will be charged at the preferred network rate and applied to your deductible. Going “out-of-network” will be more expensive. You may also have to pay the doctor directly and then submit a reimbursement claim to your PPO.
PPOs also have 2 out-of-pocket maximums. Meaning you will never pay more than a preset amount for your care in a given year. One limit applies only to in-network costs, while the other applies to both in-network and out-of-network costs. If you require extensive care or expensive procedures, these limits may protect you from racking up excessive costs. In 2023, the out-of-pocket maximum for Marketplace plans cannot exceed $9,100 for individuals and $18,200 for a family. This means that in 2023, if you pay more than $9,100 in out-of-pocket medical expenses, your insurance will cover 100% of any additional medical expenses.
Choosing Between Them
When deciding between these two plans, it’s best to consider how much you are willing to pay, how much coverage you need, and whether or not you want to see a PCP less frequently or see a specialist without a referral. In general, HMOs have a lower cost. So, if your budget is your biggest deciding factor then an HMO may be for you. With lower premiums and low to no deductibles being your benefits, but you’ll sacrifice the flexibility of choosing providers. If you travel a lot or have a chronic condition, you may need to see a doctor once or twice outside of your network. So, if you’re more interested in flexibility, a PPO plan may be the better option.
Now that you know the difference between the two main types of health insurance, you might have a better idea of which plan fits you better. If you need more information you can start by visiting our PPO and HMO pages. These pages have more in depth explanations of each plan’s benefits and limitations. Everyone should carefully consider their health insurance options. Your particular circumstances, such as your health, finances, and quality of life, will determine the optimal plan for you. EZ.Insure can assist you in choosing between the two plans and determining which one best meets your needs and budget. We provide you with a local licensed agent who will go over all available plans in your area. They will provide you with quotes for all available plans, explain what each plan covers, and sign you up at no cost. Our services are entirely free! Simply enter your zip code in the box below to receive your free instant quotes, or contact an agent by calling 877-670-3557.
Attracting and retaining employees is important to building your business, and one of the ways to do this is by offering an appealing benefits package. Since good health insurance is one of the most sought-after benefits for employees, you have to pay extra attention to what you’re offering. It might not be enough to offer one choice, so you might want to look into different types of plans you can offer, especially plans that offer a lot of options, like high deductible health plans (HDHP) and preferred provider organization plans (PPOs).
What Is a HDHP?
A high deductible health plan (HDHP) is like any other insurance plan with one key difference. If you guessed by its name that these plans have high deductibles, you are correct! HDHPs do have a higher deductible compared to most insurance plans, but in return, your employees will get a lower monthly premium.
Another major advantage of HDHPs is that you can offer the option of a health savings account (HSA) alongside them. An HSA is a tax-advantaged savings account that allows your employees to put aside money to help pay their out-of-pocket costs for health services. Employees can only contribute to an HSA if they have a HDHP, so if you think an HSA will be an attractive option for your employees, consider offering a HDHP plan so you can also add an HSA to their benefits.
To explain HSAs to your employees, and make them aware of how beneficial they can be, break them down with quick facts like:
You can use your HSA funds tax-free!
You can’t lose your HSA. Even if you change jobs or insurance plans, your HSA follows you.
HSA funds don’t expire! They roll over into the next year, so you don’t have to worry about losing money if you don’t use it before the year ends.
HSAs provide tax advantages because the contributions are pre-tax. Additionally, they accrue tax-free interest, and you can use the funds for qualified expenses tax-free.
Not only that, but similar to a 401k plan, you can match a percentage of your employees’ contributions to HSAs, which will make the option of an HSA-qualified HDHP even more attractive.
What Is a PPO?
A preferred provider organization plan (PPO) is health insurance that offers the best access to a network of healthcare providers like doctors, hospitals, labs, and specialists.
PPOs generally offer the largest network for your employees and will have plenty of options when it comes to providers. PPOs also offer coverage for services outside of their network, your employee would just have to pay more of the bill than they would with an in-network provider. This freedom to choose their provider is a huge perk to most employees.
Additionally, PPOs can offer uniform healthcare coverage. If you have employees in more than one state, this gives you the ability to offer nationwide network access. This means all of your employees will receive the same coverage no matter where they live.
Can I Offer Both Types of Plans?
You can absolutely offer both an HDHP and a PPO. While PPOs generally have lower deductibles and higher premiums, some PPOs actually qualify as HDHPs. That means you’ll also be able to offer the option of an HSA with a PPO plan that is considered a HDHP. For 2022, as long as the PPO plan’s deductible exceeds $1,400 for individuals and $2,800 for families, it’s classified as an HDHP, and can be considered HSA-eligible.
Adding healthcare options like plans that include HSAs, or PPOs that allow them to choose from a wide range of healthcare providers to your employee benefits package can keep your employees happy, and boost employee retention. If you need help adding or changing your employee’s healthcare plan, EZ.Insure has you covered. Our expert agents can answer any questions and help you find plans that fit your employees best. We offer free instant quotes with no obligation. All you need to do is enter your zip code into the bar above or call us today at888-350-1890.
POS Vs. EPO
