This means that you must pay a stated amount first, before the insurance company begins paying benefits. If you go to a doctor or hospital who is not a member of the preferred list, the plan will cover a lessor percentage of the costs. HMOs are comprised of hospitals, doctors and allied medical personnel who have contracted to provide health care to members in return for a pre-paid monthly charge. The system is designed to eliminate any unnecessary care which would ultimately increase total health care costs. HMO's provide incentives for individuals to seek medical care.
Prescriptions are available for small copays also.
With an HMO, you do not have the option of going to a medical provider who is NOT part of the HMO network. HMO's are available on both a group and individual basis. A federal program which provides medical coverage for people over the age of 65 and for those who are permanently disabled. Contact your local Social Security office for more information and enrollment instructions.