A medical or vision insurance plan that entices beneficiaries to use only the facilities and physicians who have contracted with the plan to provide services to beneficiaries by creating a financial disincentive if the beneficiary seeks care outside the plan's panel of providers. Care provided to a patient by a facility or physician that is not contracted by the Preferred Provider organisation is normally a covered benefit of the plan, however at a significantly lower rate than the same care provided by a facility or physician who is a contracted provider. The exception is in some emergency situations or with prior authorization from the plan.