HMO plans typically have lower monthly premiums. You can also expect to pay less out of pocket. PPOs tend to have higher monthly premiums in exchange for the flexibility to use providers both in and out of network without a referral. Out-of-pocket medical costs can also run higher with a PPO plan.
What is the disadvantage of belonging to an HMO?
Disadvantages of HMO plans\n\n HMO plans require you to stay within their network for care, unless it's a medical emergency. If your current doctor isn't part of the HMO's network, you'll need to choose a new primary care doctor.
Why is PPO better than HMO?
PPOs Usually Win on Choice and Flexibility\n\n If flexibility and choice are important to you, a PPO plan could be the better choice. Unlike most HMO health plans, you won't likely need to select a primary care physician, and you won't usually need a referral from that physician to see a specialist.