Exclusive Provider Organization (EPO) Plans

Health insurance can be puzzling to people outside the industry. All the insurance terminology complicates the issue of finding a health plan you can rely on. So if you’ve always wanted to know what Exclusive Provider Organization (EPO) plans mean and what they mean for you, keep reading.

We believe that simplifying health insurance empowers people to make better choices. In this guide to EPO plans, you’ll discover what they mean, how they work, and if they may be right for you. You’ll also learn about their average costs and their claim procedures. 

What Is EPO Insurance?

EPO insurance is a type of insurance that only covers services provided by a specific network of healthcare providers. These service providers are contracted with the insurance company.

When you sign up for these plans through specific providers, the insurance company helps with some expenses. The amount the insurance company pays depends on the policy terms, not the healthcare provider. This applies to all insurance plans.

Key Features Of Exclusive Provider Organization Plans

With EPO plans, you can get care from a network of healthcare providers at agreed-upon rates. It’s important to note that coverage is only available for in-network care unless it’s an emergency. 

The best part about EPOs is that you don’t have to choose a primary care physician or get referrals for specialist visits within the network. 

Most of the time, you won’t need to file claims yourself when using in-network providers. The providers handle billing directly with the insurance company. However, it’s worth noting that some EPO plans may require pre-authorization for certain medical services or procedures before coverage.

The benefits of an EPO plan depend on your circumstances, such as your health condition, location, and preferences for healthcare providers. It’s important to carefully review the plan’s details, including network coverage and potential out-of-pocket costs, to ensure they align with your healthcare requirements.

EPOs And Other Types Of Insurance Plans

According to an analysis by the experts at Forbes Advisor, EPO health insurance plans make up 31% of all plans selected under the ACA. 

But there are different types of health insurance and the type of health insurance you choose will affect where you can receive medical treatment and your out-of-pocket costs. 

Here’s a quick breakdown of the four main types of health insurance:

  • Exclusive Provider Organization (EPO) plans limit your choices of medical treatment and healthcare services to an exclusive network of providers. Expenses incurred at out-of-network providers will not be covered. You’ll probably pay much less monthly, but your out-of-pocket costs could be higher.
  • Point-Of-Service (POS) refers to a plan with a network of providers that allows you to seek care outside the network when necessary. However, referrals are necessary to see specialists. Unless the primary care physician on the network has referred you to another doctor, you’ll pay out-of-network costs.
  • Preferred Provider Organization (PPO) plans have a network of providers, but you may see a specialist outside of this network, without a referral from a network primary care physician. It’s more flexible than an EPO because you can choose whether or not to get medical care from network providers. But you will save money by using the network providers.
  • Health Maintenance Organization (HMO) plan, much like an EPO, limits you to an approved network of providers. There are a couple of differences, though. For one, you may be required to live or work in a specific service area to benefit from those select providers. And, unlike with an EPO, you may need referrals from a primary care provider to see a specialist.

The Advantages And Disadvantages Of EPO Plans

Like other types of insurance plans, EPO plans have advantages and disadvantages.


  • Lower monthly premiums: With an EPO plan, you can save on your healthcare costs as they often have lower monthly premiums than PPO plans. 
  • No need for PCP referrals: EPOs provide direct access to specialists without extra steps, unlike HMO plans. You don’t have to choose a primary care physician (PCP) or get referrals from one to see specialists within the network. 
  • Predictable out-of-pocket costs: EPOs clarify cost-sharing responsibilities for in-network services, which can help you budget your healthcare expenses. 
  • Network quality: EPOs work with a select group of high-quality healthcare providers to ensure better-coordinated care and potentially higher service standards within the network. 
  • No claims filing: When you receive care from in-network providers, they will directly bill the insurance company, eliminating the need to file claims yourself. 
  • Flexibility within the network: You can choose from various healthcare providers, including doctors, specialists, hospitals, and clinics within the EPO network. As long as the provider is in-network, your services will be covered. 
  • Emergency coverage: EPO plans typically cover emergency medical services, even if they are obtained from out-of-network providers. This ensures that you are protected in urgent medical situations. 
  • Fewer restrictions on specialized care: EPOs usually allow you to see specialists directly without requiring a referral from a primary care physician. This can be beneficial if you have specific medical needs that require specialized attention.


  • Limited network: One of the significant disadvantages of EPO plans is their restricted network of healthcare providers. You must use healthcare professionals and facilities within the EPO’s network to receive coverage, except in emergencies. 
  • No out-of-network coverage: A lack of coverage can be a significant concern if you require medical services unavailable within the plan’s network, especially in rural areas or when seeking specialized care.
  • Less coordination: In traditional HMO plans, your primary care physician (PCP) manages and coordinates your healthcare needs. In EPO plans, seeing specialists without a referral can lead to poor care coordination.
  • Pre-authorization requirements: Some EPO plans may require pre-authorization for certain medical services or procedures before they will cover the cost. This process can be time-consuming.
  • Potential Cost-sharing: While EPO plans may have lower premiums than PPO plans, they still involve cost-sharing in copayments, deductibles, and coinsurance. These out-of-pocket costs can add up, especially if you require frequent medical care.
  • Limited coverage for out-of-network emergencies: While EPO plans may provide coverage for emergency medical care, it’s important to note that if you receive emergency services from an out-of-network provider, you may still be subject to a balance bill. The out-of-network emergency room and healthcare providers do not have a contract with the insurer, so they are not obligated to accept the insurer’s payment as payment in full.

What Does EPO Insurance Cost? 

The average EPO plan premium is a little over $400 a month, but this is dependent on the tier of insurance coverage you choose and who your insurer is. 

Your personal and financial circumstances also play a role in your monthly health insurance premiums, as health insurance plans on the ACA marketplace can be subsidized. Your household income and employment status (or lack thereof) will determine your eligibility for Obamacare subsidies.

EPO insurance generally offers lower premiums, although your out-of-pocket costs could be higher. 

How To File A Claim With EPO Insurance

This is where the really good news comes in. You don’t have to hassle with claims procedures with an EPO health insurance plan!

Although you’ll be responsible for paying your deductible, copayment, and coinsurance (determined by your particular plan) directly, the rest is taken care of for you. If you’ve attended an in-network provider, they will bill the insurer directly.

However, if you visit an off-network provider, you are 100% liable for the costs. If you were forced to use the services of an out-of-network provider in an emergency, you may claim this from your insurer. 

Should I Choose An EPO Plan?

In light of its limitations, should you choose an EPO plan? If you want to save money on your monthly premiums, you may want to consider it. Even a small saving every month can make a big difference at the end of the year. So if you’re on a tight budget, this may be your type of insurance plan.

Plus, if you prefer managing your healthcare without a primary care provider’s assistance and don’t want the inconvenience of obtaining referrals, an EPO health insurance plan may be suitable for you.

Of course, when it comes to healthcare, you may prefer more freedom of choice. If that’s the case, an EPO likely isn’t the right fit for you. 

Don’t stress about all the insurance lingo or the time it will take to find the right health insurance plan for your family’s needs. There’s a way to simplify your search for health insurance. And that’s with a professional insurance broker like Enhance Health

We take the hassle and confusion out of searching for and signing up for health insurance. We offer you freedom of choice, backed by our years of expertise in the health insurance industry. Together, we’ll find the perfect solution.


Are Exclusive Provider Organization (EPO) plans right for you? It depends on your specific needs and budget because only you know what you need from an insurance plan. 

But there are many things to consider when choosing the right health plan, and no one understands this better than the team at Enhance Health. Health insurance is not one-size-fits-all. There are many different types of health insurance plans. Contact us today, and let us find the one that’s the right fit for you.