title: Study results show decline in HMO operating margins.
abstract: In the early 1990s, virtually all HMOs reported healthy profits, especially in markets with low managed care penetration. However, a recent survey has revealed that HMO operating margins experienced sharp declines in 1995. Some reasons for these declines include: more competition as the healthcare marketplace has become more saturated with HMOs; aggressive price negotiations by employers; and rising HMO medical and administrative expenses. The study also revealed that all types of HMOs experienced operating margin declines, demonstrating that organizational structure was an unlikely contributing factor.
authors.affiliation: InterStudy Publications, Bloomington, MN, USA.
authors.forename: R
authors.initials: R
authors.lastname: Hamer
authors.forename: S
authors.initials: S
authors.lastname: VanAntwerp
mesh_terms: D003284:Contract Services / Q000191:economics*; D003365:Costs and Cost Analysis; D003625:Data Collection; D004465:Economic Competition; D005376:Financial Management / Q000706:statistics & numerical data / Q000639:trends*; D017048:Health Care Costs / Q000706:statistics & numerical data / Q000639:trends; D006279:Health Maintenance Organizations / Q000191:economics* / Q000706:statistics & numerical data; D007182:Income / Q000706:statistics & numerical data* / Q000639:trends; D014481:United States