Managed Care

 

Following Trend, Michigan HMOs Lose $42 Million

MANAGED CARE September 1998. © MediMedia USA
State Initiatives

Following Trend, Michigan HMOs Lose $42 Million

MANAGED CARE September 1998. ©1998 Stezzi Communications

Despite enrollment growth, HMOs in Michigan lost $42.6 million last year due to lower premium revenues, and lost another $21.3 million in the first quarter of 1998. The 1997 loss was 1.1 percent of the plans' revenues of $3.7 billion, and followed surpluses of $40.4 million in 1996 and $105.2 million in 1995.

The financial results are among trends and issues analyzed in "Michigan Managed Care Review 1998" by Minneapolis-based managed care analyst Allan Baumgarten, who has also analyzed managed care trends in Colorado, Illinois, Minnesota and Ohio. Baumgarten attributed Michigan HMOs' financial problems to continuing pressure on commercial premiums, rising medical costs and reductions in Medicaid payments. Michigan plans saw their medical loss ratio increase from 90.1 percent in 1996 to 92.5 percent last year.

HMO enrollment in Michigan increased 11.4 percent to 2.4 million. One fourth of Michigan residents are in health maintenance organizations.

Meetings

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