Service point (POS) plans are one of the many health insurance options available to you and your family. A unique type of health plan, POS plans can be considered a hybrid of HMO and WTO plans. POS plans have some of each of these traits that some people may find useful. Below are the advantages and disadvantages of a POS plan over other plans.
Advantages of a POS plan
- No deduction. One of the most obvious benefits of a POS plan is that it does not charge doctors in your network. This means that you do not have to pay any medical expenses yourself until your insurance begins to reimburse you. The WTO, on the other hand, has deductions.
- Low total payments. POS plans have lower total salaries than the WTO. With medical expenses, you will only have to pay a small percentage as a premium, and the rest will be covered by your POS plan.
- More choice and freedom of choice. Unlike HMOs, POS plans provide partial coverage even for doctors who are not in your network. This means that if you are not satisfied with the choices available in your network for a particular treatment, you can see your doctor online and still be covered.
Weaknesses of the POS plan
- Under the POS plan, you must select a primary care provider (PCP). This doctor serves as the primary doctor for all medical needs. He or she can refer you to specialists in your network if you have certain health issues. You need to visit your PCP and see a specialist before a doctor’s visit can be considered an online visit.
- If you visit a doctor who is offline, your coverage is limited. You have to pay a deductible and a higher premium than you would with online doctors.
Choosing the Right Health Insurance Plan
If you are satisfied with the doctors in your network and you do not mind having one primary care provider that you need to visit for coverage, then a POS plan may be ideal for you. Often, the PCP or the referral specialist can meet all the usual medical needs. However, if you have unique medical conditions that require you to visit physicians frequently outside of the POS network, you may be better off finding a plan that covers you with those physicians.
Greater choice and freedom for doctors, lower premiums and zero deductible for network doctors make POS an attractive option for you to consider. For more information on POS health insurance plans and other options available to you, visit the Texas Health Insurance Company website. Option 1. Health here.