Understand Your Point-of-Service Plan’s Trade-Off
Key Takeaways
- Point-of-Service (POS) benefits depend on whether the policyholder uses in-networkIn-network refers to the doctors, hospitals and other providers that are inside of your provider network. A provider network is a group of providers that have agreed with your health insurance company to treat its customers. or out-of-networkOut-of-network refers to doctors, hospitals and other providers that do not have an agreement to treat your health insurance company’s clients. Visiting an out-of-network provider typically means more out-of-pocket costs and less coverage. health care providers.
- POS plans only represent a small share of the health insurance market.
- POS plans usually deliver lower costs, but they come with a limited provider networkA provider network is a group of doctors, hospitals and other specialists who agree with an insurance company to treat its clients. It’s usually less expensive for you to see a doctor within your provider network. .
FAQs
What does “point of service” mean?
The term “point of service” refers to where and what provider you visit for services. Your coverage varies on whether you see a provider who’s in- or out-of-network and if you’ve received a referral.
Are POS insurance plans all the same?
No. Depending on the plan design and the insurance provider, the features of a POS plan may differ, as well as plan name. Regardless of plan or name, POS insurance works best if you’re willing to follow the terms of the health plan.