Independent & locally owned  ·  Licensed in Texas  ·  We work for you, not the carrier
Mon–Fri, 9–6 CT☎ (214) 555-0100
Texas group health plans

Group Health Plan Types for Texas Businesses

Most Texas small groups choose one of three plan structures: PPO, HMO, or a high-deductible plan with an HSA. Each one trades flexibility against cost in a different way. Here is how they actually work.

Free rate review We handle the switch No broker fee, ever
The three main types

How PPO, HMO, and HDHP + HSA actually compare

There is no perfect plan, only the one that fits your team and budget. Here is what each structure means in plain language.

PPO

Preferred Provider Organization. Employees can see any doctor, in-network or out-of-network, without needing a referral. The most flexible option, but premiums are usually the highest of the three.

Most flexible

HMO

Health Maintenance Organization. Lower monthly premiums in exchange for staying inside a specific network. Employees pick a primary care doctor and need a referral to see a specialist.

Lowest premium

HDHP + HSA

High-Deductible Health Plan paired with a Health Savings Account. Lower premiums plus a tax-free savings account that both you and your employees can fund for medical expenses.

Tax savings
PPO plans

Maximum freedom, higher monthly cost

A PPO gives employees the widest choice of doctors and hospitals. They do not need a referral to see a specialist, and out-of-network care is still covered, usually at a higher coinsurance rate.

This is the right fit when your team values convenience and choice over saving a few dollars on the premium. It is also the easiest plan to explain because it works closest to how people expect health insurance to work.

Compare PPO rates

What to expect with a PPO

  • No referrals needed for specialists
  • In-network and out-of-network coverage
  • Higher monthly premium than HMO or HDHP
  • Usually lower coinsurance and deductibles
  • Broadest provider network of the three
HMO plans

Lower cost if you stay in-network

An HMO keeps premiums down by asking employees to coordinate care through a primary care physician. If the network is strong in your area and your employees do not mind the referral step, the savings are real.

The catch is out-of-network care. Except for emergencies, it is generally not covered. If your team already uses doctors inside the HMO network, this is often the most cost-effective choice.

Compare HMO rates

What to expect with an HMO

  • Lower monthly premium than a PPO
  • A defined network of doctors and hospitals
  • Primary care doctor manages referrals
  • No out-of-network coverage except emergencies
  • Simple copay structure with fewer surprises
HDHP + HSA

High deductible, tax-free savings

A High-Deductible Health Plan has the lowest monthly premium of the three, but the employee pays more out of pocket before coverage kicks in. The upside is the Health Savings Account.

You and your employees can contribute pre-tax dollars into the HSA, and the money rolls over year after year. It can be used for deductibles, copays, prescriptions, and even some dental and vision costs. For a healthy team that does not use much care, this is the cheapest total-cost option.

Compare HDHP + HSA rates

What to expect with HDHP + HSA

  • Lowest monthly premium of the three types
  • Higher deductible before insurance pays
  • Tax-free HSA contributions from employer and employee
  • HSA funds roll over and stay with the employee
  • Best total cost for teams with low medical usage
Small group vs. large group

The 50-employee line changes everything

In Texas, the rules and the market shift once you cross 50 full-time-equivalent employees. Here is what that means for your plan options.

1

Small group: 1 to 50 employees

These employers buy ACA small-group plans. Coverage is guaranteed-issue, carriers cannot deny anyone for health reasons, and pricing is community-rated based on age and location, not medical history.

2

Large group: 51 or more employees

Large groups move into a different market with more plan design flexibility and typically more negotiating leverage. Rates can be experience-rated, and carriers may offer custom plan configurations.

3

The employer mandate kicks in at 50+

Under the ACA, employers with 50 or more full-time-equivalent employees must offer affordable, minimum-value coverage or face penalties. We help you stay compliant while controlling cost.

4

Hybrid and mid-market plans

If you are near the 50-employee line, some carriers offer special mid-market products that bridge the gap. We will find the one that fits your size and your budget.

Not sure which plan fits your team?

We compare PPO, HMO, and HDHP + HSA from every major Texas carrier and show you the real numbers.