An indemnity plan where coverage is provided to participants through a  network of selected health care providers (such as hospitals and physicians). The enrollees may go outside the network, but would incur larger costs in the form of higher deductibles, higher coinsurance rates, or nondiscounted  charges from the providers.

PPO health insurance plans:

• Provide less out-of-pocket expenses when you choose a provider in the network
• Provide a safety net for major health expenses
• May offer affordable monthly premiums
• May provide additional coverage for prescription drugs and co-pays for doctor office visits (in-network)
• Provides a wide array of deductible options
• Deductibles, co-pays, and coinsurance limits are different within each policy to steer customers to use in network providers; examples $500/$750 deductible (in/out of network), $25/$40 co-pays, or 80%/60% coinsurance limits

A PPO plan may be right for you if:

• You are relatively healthy
• You are not actively taking prescription drugs
• Your providers are in the network
• You want the flexibility to go outside the provider network in needed