preferred provider organization

Meaning

1. 1nouncountablebusinessAmerican

   In US health insurance, a group of doctors and hospitals that an insurer has agreed to work with, usually at lower cost to the patient.

   Grammar: Countable and often shortened to PPO; use an or the before it.

   Patterns

   • join a preferred provider organization
   • a preferred provider organization plan
   • see a doctor in a preferred provider organization

   Her insurance uses a preferred provider organization, so she pays less when she sees a listed doctor.

   If you go outside the preferred provider organization, the bill may be much higher.

   The company switched to a preferred provider organization to keep costs down.

Word forms

Common combinations

PPO plan

A PPO plan usually lets you see specialists without a referral.

in-network provider

Check whether the clinic is an in-network provider before you book.

health insurance network

The health insurance network includes hundreds of local doctors.

out-of-network costs

Out-of-network costs are higher under this plan.

choose a PPO

New employees can choose a PPO or an HMO.

Synonyms and how they differ

PPO

The everyday short form; use it in speech and informal writing, and the full phrase in official documents.

health plan

A much broader term for any insurance arrangement, not only one built around a chosen network.

Word family

provider noun

a person or organization that gives a service, especially medical care.

preferred adjective

liked or chosen more than others.

Commonly confused: preferred provider organization or HMO?

Practice

Make it your own

Write a sentence using “preferred provider organization”, then check it and compare it with the examples above.

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