Multiple choice general knowledge

What is a PPO plan?

  1. A plan to assist the Professional Parents Organization.

  2. A Preferred Provider Organization allowing preferred providers (doctors) to have direct contact with their policyholders.

  3. A Preferred Provider Organization where providers contract with an insurance company or health plan to offer services

  4. A plan for employees of organizations named with three letters, such as NBC and SBC

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

A PPO (Preferred Provider Organization) is a network-based plan where contracted providers agree to accept negotiated rates from the insurance company in exchange for patient referrals. Patients can use out-of-network providers but pay more. Option B incorrectly describes direct provider-patient contact without the insurance middleman that defines PPO arrangements.