| Most employees consider healthcare coverage | | | | health maintenance organization, forms a |
| the most important of all employee benefits. | | | | network of doctors and hospitals, and |
| At the same time, it is an attractive benefit | | | | employers pay a set fee per employee enrolled |
| for many employers too. By pooling risk, | | | | in the plan. HMOs cover visits by members |
| business houses can buy health coverage much | | | | only to doctors and hospitals that are part |
| more cheaply than individuals. Tax benefits | | | | of the network.A PPO, or preferred provider |
| also ensure that healthcare is a very | | | | organization, is a group of physicians and |
| cost-effective way to compensate | | | | hospitals that provide health care at a |
| employees.There are three popular health | | | | reduced cost to PPO members. As it imposes no |
| benefit programs for employees: traditional, | | | | restrictions like HMOs, PPOs have become very |
| HMO, and PPO. Some employers will offer just | | | | popular in recent years. Visits to doctors |
| one or two of the three. Other business | | | | and hospitals outside the network are, |
| houses, especially ones with a diverse group | | | | however, not fully covered and require higher |
| of employees, will opt for all | | | | payments from the patient.Before choosing |
| three.Traditional health insurance offers | | | | health insurance, you must find a good broker |
| flexibility to employees. They can visit any | | | | who has a state license to sell and service |
| doctor or hospital they want and receive | | | | contracts of multiple health plans or |
| coverage for any treatment covered under the | | | | insurers. They are mostly self-employed or |
| policy.Its major problem, however, is cost. | | | | work for an independent agency. They can |
| Premiums for traditional insurance are | | | | typically offer products from five to 15 |
| generally higher than for other kinds of | | | | insurers. The broker of your choice must be |
| plans. It is also costly for employees, | | | | experienced in dealing with firms of similar |
| because most plans require costly deductibles | | | | size and in the same industry as your own. |
| and co-insurance with each visit.An HMO, or | | | | |