An HMO (Health Maintenance Organization) limits you to a specific network of healthcare providers and typically requires you to obtain referrals from a Primary Care Physician before seeing a specialist. A PPO (Preferred Provider Organization) provides greater flexibility, allowing you to visit out-of-network physicians without needing a referral, but generally has higher premium costs.

In-network providers have agreements with your insurance carrier to accept negotiated rates, which results in lower costs for you. Out-of-network providers haven't established contracts with your insurance plan, which leads to substantially higher expenses or potentially no coverage.

A deductible is what you must pay yourself for covered healthcare services before your insurance starts paying. A copay is a set dollar amount you pay for particular services (such as $20 for an office visit). Coinsurance is the percentage of costs you're responsible for after meeting your deductible (such as 20% of the total bill).