Everyone’s heard of private health plans, HMO’s and PPO’s, but there’s a third type of health plan — known as a point-of-service (POS) plan. It offers a combination of PPO health insurance and HMO insurance services. In fact, the “point of service” in the name reflects the fact that you make your choice of whether to use HMO or PPO services each time you see a provider.

Generally, a POS has rules similar to HMO insurance, but a POS will allow you to see an out-of-network physician for a higher fee. Some HMOs actually include a POS plan so you can see out-of-network physicians.

Understanding the differences among HMO, PPO and POS plans can help you make the right health insurance plan choice during your next health insurance open enrollment period. Be sure you know the differences between each plan so you know which plan is the best for you.