In which of the following ways do PPOs differ from HMOs?
A)HMOs provide benefits on a prepaid basis.
B)PPOs focus on preventive measures and outpatient care.
C)PPOs aim at providing high-quality health services at high costs.
D)HMOs contract directly with employees.
E)Physicians are paid on a flat salary basis in PPOs.

Question

Quizplus · Accepted Answer

PPOs and HMOs differ in their payment method. HMOs provide benefits on a prepaid basis, where members pay a fixed fee for services regardless of how much they use. PPOs, on the other hand, typically have a fee-for-service structure in which members pay a deductible and coinsurance, and the insurance company covers the rest of the cost. The other options do not accurately describe the differences between PPOs and HMOs.

In Which of the Following Ways Do PPOs Differ from HMOs