There are many types of PPO plans for consumers these days, but the basics are not hard to understand at all. The PPO health insurance plan is well liked by consumers due to the freedom to choose benefits and providers. People like to customize their plan to suit their needs and desires.

So I would like to start with the Lifetime maxiumum. Life time maximum is the maximum amount of money the insurer agrees to pay for the life of the policy. If you meet that maximum they will no longer pay any benefits for you. Most policies have Lifetime maximums from 2 million to 5 million.

Next, is your total out of pocket. This is your deductible plus your co insurance limit. Your deductible is the amount you will have to pay each year before your benefits kick in and the co insurance is the amount the insurance company will pay after that deductible has been met.

One of the feaures that people love about a PPO is the office visit co pay that many of them offer. The co pay is typically waived from the deductible so it doesn’t matter if you have reached the deductible you still get to take advanatage of the co pay. So you would pay a set amount, like, $25 at your office visit.

The next thing to understand is prescription coverage. Prescription coverage typically have a co pay depending on the type of prescription. Generic, Brand name, Formulary and Non Formulary to name a few. Pay attention though, some of these plans limit prescription coverage to a dollar amount annually.

Another popular feature that is well like with the PPO is the Preventative Exam. Most of the plans offer some sort of Preventative care. This benefit might cover basic screenings, such as mammograms, pap smears and PSA screening. Be sure to pay attention to the maximum the will pay however.

Also many people assume that if you go for an office visit and you have labs or an x-ray it is covered with your co pay. This is often not the truth. You will be billed separately and the expense will fall under the deductible or co insurance rules.

You should really pay close attention to waivers, exclusions and waiting periods if you have any pre existing conditions. If you have medical condition this is probably the most important factor for you to understand. Sometimes these details are in the small print so dont skip over them.