What is the difference between HMO and PPO Medicare Advantage plans?

Last updated Jul 21, 2026

Reviewed by Jason Burns, Editorial Steward

Published by Senior Direct Answers · Licensed under Citation License 1.0

An HMO Medicare Advantage plan generally covers only care from doctors, hospitals, and pharmacies in its network, usually requires you to choose a primary care physician, and typically requires referrals to see specialists — with emergency and urgent care as the main out-of-network exceptions. A PPO Medicare Advantage plan covers both in- and out-of-network care (at a higher cost out of network), does not require a primary care physician or referrals, and gives you broader provider choice. Both plan types must cover everything Original Medicare covers.

Also asked as

  • What is the difference between HMO and PPO Medicare Advantage plans — plain answer
  • Definition of the difference between HMO and PPO Medicare Advantage plans.

What it means

  • HMOs typically have lower premiums but stricter network rules.
  • PPOs typically have higher premiums but out-of-network flexibility.
  • Both must include emergency and urgent care nationwide and must cover every Part A and Part B service Original Medicare covers.

Action steps

  1. Check the plan's provider directory for every doctor you want to keep before choosing.
  2. Compare in-network and combined MOOPs on Medicare Plan Finder — PPOs have a separate, higher combined MOOP.
  3. If you travel often, the PPO's out-of-network coverage may matter more than a lower HMO premium.

Risks & deadlines

  • Out-of-network care in an HMO (outside emergencies) is generally not covered — you may owe 100%.

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Last verified: 2026-07-21