What is a characteristic of a PPO?

• A. Offers a network of providers with lower costs in-network but allows out-of-network access at higher costs.
• B. Requires a PCP for referrals.
• C. Reimburses per service.
• D. Funded by taxes.

Answer: (A)

A PPO offers a network of providers with lower costs when you stay in-network, but it also lets you see out-of-network providers at higher costs. This setup gives you flexibility to choose providers outside the network, while still saving money if you stay in-network. It also usually means you don’t need a primary care physician referral to see a specialist, which adds ease of access. The other descriptions don’t match a PPO: requiring a PCP referral aligns more with HMOs, “reimburses per service” isn’t the defining feature of a PPO, and being funded by taxes describes public programs rather than a private PPO.