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What does in-network or out-of-network mean?

Before we can define in-network and out-of-network, we must first define network provider.
What is a network provider? A network provider is a middleman that has negotiated rates with hospitals and doctors. For example, the network provider might say to the doctor: "If you agree to charge these rates for the following procedures, we will send you thousands of patients."
This is more efficient than having each insurance company negotiate with each doctor and hospital.
NOW, we can define in-network: If you are in-network, you are dealing with a doctor or hospital that has agreed to work with your network provider, and therefore, your insurance company.
If you go out-of-network, that means that the network provider did not negotiate with your doctor or hospital. Consequently that doctor and hospital are free to charge much higher rates for their services.
That is why your out-of-network deductibles and coinsurances are usually double the in-network deductibles and coinsurances. In some cases, they don't pay anything if you are out-of-network. You need to confirm that your health care provider is in-network before you avail yourself of their services.
In an emergency situation, it is almost always considered in-network, but as soon as you are stabilized, you need to transfer to an in-network health care provider.