When it comes to health insurance, there seems to be an abundance of ways you can procure a policy. There are all kinds of Colorado health insurance policies for individuals and families, but without some kind of group plan, those policies can be somewhat expensive. However, when it comes to group policies, there seems to be a level of confusion around them and understanding those differences can save you a lot of money.
The two types of Colorado health insurance group plans are HMO’s and PPO’s. Health maintenance Organizations and Preferred Provider Organizations have a lot of similarities but they also have some very significant differences as well. Paying premiums for the policy and knowing the insurance company will pay a percentage of the bills are the basic similarities, but other major features of each are totally different.
HMO’s are designed to have all health decisions coming from a primary care physician who you’ll select when you set the policy up. You’ll also select PCP’s for every member of your family as well and they’ll manage your entire health care platform. If you need to see a specialist or go to the hospital, your PCP will provide a referral for you. These referrals are necessary so the insurance can be paid properly. If you need to see a doctor outside of the HMO’s network of doctors and without a referral, you may be responsible for the full bill.
PPO’s are based on contracts with a network of preferred providers to give you more flexibility in choosing which doctors and other medical professionals you can see. Since you’re not being limited by going through your PCP to get a referral, you can see whoever you want that’s in the network and your Colorado health insurance will pay for it as long as you’ve met the yearly deductible and take care of any co-pays that may be necessary.
HMO in-network doctors are paid when they file Colorado health insurance claims which mean you don’t have to worry about any additional paperwork. The drawback is that if you have to use a doctor or facility that isn’t a part of their network, you usually wind up having to pay for any bills yourself as the HMO won’t cover any part of it. Also, you’ll still have co-pays for doctor visits and medicines
In a PPO however, depending on the circumstances, you may have to file a claim to be compensated for doctor’s bills you’ve had to pay out of pocket to out of network providers. Regardless of what doctor you see, in-network or out, you’ll have an annual deductible to pay and will be responsible for a certain percentage of the bills after the deductible is met. The percentage varies depending on the amount of the bills and their purpose but Colorado health insurance will pay the higher part. See which type of group policy you’re looking at so you’ll know what your ultimate responsibilities will be.
Doing your research is key when choosing which employer group health insurance option is best for you and your family. Royce Vangoff changed his Colorado health insurance when he found a plan that worked better for him.