Rising health care costs are causing employers to search for alternatives to contain costs of health care benefits. Common alternatives to the traditional indemnity plans are health maintenance organizations (HMOs) and Preferred Provider Organizations (PPOs) Conventional wisdom suggests that satisfaction with alternatives is lower than with indemnity plans. This study examines levels of satisfaction with indemnity, HMO, and PPO plans based on a national survey of personnel directors and develops a model of factors that should influence satisfaction
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