My employer has decided to offer the option of sticking with an HMO or changing to an HSA PPO. Is there any benefit to switching to an HSA?
You need to consider a lot of things before making that kind of switch (IMO). With an HSA PPO you need to figure out if you can realistically cover your out-of-pocket costs before the insurance kicks in (assuming that's how this plan works; they are all a little different). Will you be contributing to the HSA or will your employer?
Generally speaking, HSA PPOs offer more flexibility with regard to who you can see, what Rxs you can get, etc, but you have to pay more out-of-pocket. And those out-of-pocket costs can sometimes be quite daunting if you're getting regular lab work, prescriptions, doctor's visits, etc. HMOs have less flexibility, but are more predictable in terms of what you're required to pay for. I think it depends on how much you're accessing in terms of health care services and your level of income.
BustedP said it all with "you need to consider a lot of things." Not all HSAs are created equal and you need to look at the specific structure of yours. If given the choice b/w a PPO and an HMO, and all other things being fairly equal, I would take he PPO every time because it offers greater choice. Also telling is that HMOs are almost always less expensive than PPOs and, I personally belive it supports the addage "you get what you pay for." But the HSA component attached to the PPO makes it likely that there will be at least a period during each year of coverage where you are out of your own pocket. (Keep in mind, HSAs can be structered a number of ways, and I am saying this based on what I personally have seen, which may or may not be he case with your situation.) If you have benefits people on staff at your business, it might be helpful to sit down with one of them, taking your medical expenses from last year, and try to figure out what the costs would have looked like under each situation
I agree that you need to closely examine the plan documents for both and sit down and compare each feature. No two PPOs and no two HMOs are alike, but typically PPOs will have a higher out of pocket component. The devil is in the details...
Please don't assume that "you get what you pay for" with HMOs because that has not been my experience. It depends on the participating doctors and the HMO plan specifics.
My current plan is an HMO offered by my employer through BC-BS and my long-time endo is part of that plan as are all of my other doctors that I was seeing before my employer switched to this plan.
My HMO plan covers my test strips, my OmniPod pods, and my Dexcom sensors - all with no out of pocket copay to me. I think that's a pretty good plan. Of course, it does leave me wondering how I'll ever afford to retire.