What is it?
Traditional medical insurance may be provided by an employer or with an individual policy.  The participant pays a monthly premium in return for insurance coverage for most medical care.  The insurance may take many forms, several of which are described below.

Indemnity

A type of insurance in which the insured pays for services at the time they are received, submits bills and copies of paid receipts to the insurance company, and the insurance company reimburses the insured for a portion of the covered health care expenses.

Preferred Provider Organization (PPO)

A type of managed care plan, where coverage for expenses incurred when services are provided by a network provider are paid at a higher level than the coverage available for services received from an out-of-network provider.

Health Maintenance Organization (HMO)

A health care financing and delivery system that provides comprehensive health care services for enrollees in a particular geographic area.  HMOs require the use of specific plan providers.  Refer to the Office of the Commissioner of Insurance Website –

Glossary of terms:  http://oci.wi.gov/glossary.htm#i