Managed Care

 

2001 Could Be Good Year For Managed Care Industry

MANAGED CARE February 2001. © MediMedia USA
News and Commentary

2001 Could Be Good Year For Managed Care Industry

MANAGED CARE February 2001. ©MediMedia USA

Median earnings for managed care organizations are expected to grow 17 percent this year, according to a forecast by Merrill Lynch. The report, "Managed Care: Let the Good Times Roll," suggests that while enrollment increases will remain tepid, well-positioned companies will benefit from increased market share. Further, better management of overhead and debt will offset increases in medical costs.

Long term, MCOs could feel the sting of sustained medical inflation — as, Merrill Lynch analyst Roberta Goodman notes, they will be hard-pressed to get away with double-digit premium hikes year after year.

Helping matters, the political and legal environments for managed care are thought to be better this year. A centrist patient-rights bill, if passed, would do little to upset industry operations as a whole, Goodman says. In the courts, the worst of the existing liability cases cleared out last year.

Two groups that track the industry independently confirm some of Goodman's observations — as well as her message that the strong are getting stronger. Weiss Ratings reports that in 2000, HMO failures fell — for the first time in five years — to 18 mostly small HMOs. Interstudy Publications notes that HMO enrollment in metropolitan areas increased 1.3 percent, but membership dropped in rural areas, which tend to be the domain of smaller HMOs.

Meetings

Pharmaceutical Pricing and Contracting Conference Philadelphia, PA September 22–23, 2014
Private Health Insurance Exchanges Conference Washington, D.C. October 7–8, 2014
National Healthcare Facility Management Summit Palm Beach, FL October 16–17, 2014
National Healthcare CFO Summit Las Vegas, NV October 19–21, 2014
National Healthcare CXO Summit Las Vegas, NV October 19–21, 2014
Innovative Member Engagement Operations For Health Plans Las Vegas, NV October 20–21, 2014
4th Partnering With ACOs Summit Los Angeles, CA October 27–28, 2014
2014 Annual HEDIS® and Star Ratings Symposium Nashville, TN November 3–4, 2014
PCMH & Shared Savings ACO Leadership Summit Nashville, TN November 3–4, 2014
World Orphan Drug Congress Europe 2014 Brussels, Belgium November 12–14, 2014
Medicare Risk Adjustment, Revenue Management, & Star Ratings Fort Lauderdale, FL November 12–14, 2014
Healthcare Chief Medical Officer Forum Alexandria, VA November 13–14, 2014
Home Care Leadership Summit Atlanta, GA November 17–18, 2014