Your health plan’s network type determines which doctors you can see, whether you need referrals, and how much you pay for out-of-network care. Choosing the wrong network type can mean unexpected bills or losing access to your preferred providers.
HMO — Health Maintenance Organization
HMO plans require you to choose a Primary Care Physician (PCP) who coordinates all of your care. Referrals are required to see specialists. There is no coverage for out-of-network care except in emergencies. In exchange, HMOs typically offer the lowest premiums and low copays.
Best for: Cost-conscious buyers who don’t mind a coordinated care model and have local providers available in-network.
PPO — Preferred Provider Organization
PPO plans let you see any doctor — in or out of network — without a referral. In-network care costs less; out-of-network care is covered at higher cost-sharing. PPOs offer the most flexibility of any network type but typically carry the highest premiums and higher deductibles.
Best for: People who want maximum flexibility — especially those who see specialists frequently, have out-of-state providers, or travel often.
EPO — Exclusive Provider Organization
EPO plans do not require referrals (like a PPO), but they provide no coverage for out-of-network care except emergencies (like an HMO). You must stay within the plan’s defined network. EPOs typically sit between HMOs and PPOs in premium cost.
Best for: People who want the no-referral convenience of a PPO but are comfortable staying within a defined network and want lower premiums than a PPO.
POS — Point of Service
POS plans are a hybrid of HMO and PPO. You choose a PCP and need referrals for in-network specialists — but you can go out-of-network at higher cost, unlike a pure HMO. Less common than HMO or PPO plans.
Best for: Those who want the option to occasionally go out of network but prefer coordinated in-network care as the default.
HDHP — High-Deductible Health Plan
HDHPs can be structured as HMO, PPO, or EPO plans — the defining characteristic is a higher deductible and lower premiums. The key benefit: HDHPs are the only plan type that qualifies you to open and fund a Health Savings Account (HSA). In 2025, IRS minimum deductibles are $1,650 for individuals and $3,300 for families.
Best for: Healthy individuals who want the lowest possible premiums and the triple tax advantage of an HSA. Not ideal for those with chronic conditions or frequent healthcare needs.
Which Network Type Is Right for You?
The best choice depends on your specific doctors, how often you use care, whether you need out-of-state coverage, and your budget. Network availability also varies significantly by location — a PPO available in one state may not be offered in another.
Call us at 1-888-972-0024 — our advisors compare plans across all network types and all carriers at no cost to you.