Preferred Provider Organization – PPO
Categories: Insurance
You have a plumber you really like: Randy. Randy’s cousin is an electrician. Mention Randy’s name and his cousin will give you 25% off. Randy also has a friend from high school who owns a landscape company. Again, this relationship comes with perks. Drop Randy's name and you get free mulch. Randy has a whole network in place, allowing you to save money.
A preferred provider organization is the corporate healthcare equivalent of this. The PPO makes deals with doctors and other providers, giving people in the plan better pricing if they stay in the network. This kind of health plan helps keep costs low through its web of providers.
