Preferred Provider Organization (PPO) is a Groups of health care providers that contract with employer’s insurance companies, or third-party payers to provide medical care services at a reduced fee.
Preferred provider organization (PPO) is a managed care plan that contracts with health-care providers to provide certain medical services to the plan members at discounted fees. To encourage patients to use PPO providers, deductibles and coinsurance charges are reduced.
A relatively new form of health care coverage in which provider negotiates lower prices with certain physicians and hospitals and thereby reduces insurance costs.