Question

Which of the following BEST describes how a preferred provider organization (PPO) is less restrictive than a health maintenance organization (HMO)? A) a)More physicians to choose from

B) Lower out-of-pocket costs
C) Required primary care physician (PCP) referrals
D) Limited coverage for out-of-network services

Answer 1

A PPO is less restrictive than an HMO mainly because it provides patients with a larger selection of physicians and does not require PCP referrals for specialists, allowing more flexibility in healthcare choices.

Step-by-step explanation:

The choice between a Preferred Provider Organization (PPO) and a Health Maintenance Organization (HMO) often comes down to the level of freedom patients have in selecting healthcare providers and managing their own care. A PPO is generally considered less restrictive than an HMO. This is because in a PPO, patients have more physicians to choose from and are not usually required to obtain referrals from a primary care physician (PCP) to see specialists, offering a wider network. Additionally, PPOs typically provide some coverage for out-of-network services, whereas HMOs often limit coverage strictly to in-network providers unless there is an emergency.