A Preferred Provider Organization (PPO) is a type of health insurance plan that offers a network of healthcare providers, including doctors and hospitals. Members can choose to receive care from these preferred providers at lower costs, but they also have the flexibility to see out-of-network providers, usually at a higher expense. This structure allows for greater choice in healthcare options. PPOs typically require members to pay a monthly premium, along with deductibles and co-pays for services. They do not usually require referrals to see specialists, making it easier for members to access a wide range of medical services without needing prior approval.