What is the Full Form of POS in Insurance?

The POS Full Form in Insurance is Point of Service. It is a kind of health insurance policy where freedom is given to the member to choose health care providers while in service, without compulsion on referral from any primary care physician.

POS Plan Summary:

See, a POS plan unites features of both Health Maintenance Organization (HMO) and Preferred Provider Organization (PPO) plans. On the one hand, it has the essence of being able to choose any healthcare provider of choice and, at the same time, availing price-saving benefits that are synonymous with HMOs.

Key Features and Benefits:

The POS has a flexible nature in that members can choose any healthcare provider for the delivery of a medical service. However, for the greatest benefit and reduction of out-of-pocket costs, members are prompted to select the recommended providers of the plan.

Along with that, common sharing of costs in POS plans includes copayment, coinsurance, and deductible. Copayments are most often fixed and are to be paid upfront at the time of service. Coinsurance represents a certain percentage of the whole cost between the member and the insurance company. And yes, deductibles are the amount members must pay out-of-pocket before insurance coverage kicks in.

Another great advantage of the POS plan is that members have the freedom to visit a specialist directly without necessarily going through the primary care physician’s referral. It will be a good gesture in ensuring quick diagnosis and treatment to bring about positive health outcomes for the members.