HealthLeaders-InterStudy, a leading provider of managed care industry intelligence, reports that Minnesota's major non-profits health plans experienced an overall operating loss of $78.5 million in 2005. According to the latest issue of Minnesota Health Plan Analysis, all the health plans seem to be well run, with solid reserves, so the year's shortfall is not expected to have any serious consequences.

"They are, of course, all non-profits," said Don Mooradian, HealthLeaders-InterStudy analyst. "Minnesota state law requires all HMOs and other health plans to be non-profit. Since they can't send dividend checks to investors, they compete more on keeping premiums down and testing health-improvement and cost-containment programs."

Healthcare spending rose faster than premium revenue in 2005, with payments to doctors, hospitals and clinics increasing nearly 10 percent in 2005, while revenue from healthcare premiums increased only 8 percent, according to reports filed with state regulators.

According to observers, these premium increases are the lowest in many years. Overall enrollment grew about two percent.

  Other health plan news in Minnesota:   * PreferredOne, Blue Cross and Blue Shield of Minnesota, and     HealthPartners are beginning to make the pricing of some medical     services and procedures available via web sites.   * UCare Minnesota's pay-for-performance program has been unusual in     rewarding improvement show by smaller provider offices, rather than     just large provider networks.    About Health Plan Analysis 

Health Plan Analysis identifies key health plan trends, allowing healthcare businesses to create comprehensive strategic plans and sales strategies at state and local levels. Minnesota is a new report for Health Plan Analysis.

About HealthLeaders-InterStudy

HealthLeaders-InterStudy, a company of Decision Resources, Inc. (, is the authoritative source for managed care data and analysis. For more information, please visit

All company, brand, or product names contained in this document may be trademarks or registered trademarks of their respective holders.

  For more information, contact:   Alex Jablokow   Decision Resources   781-296-2562 

SOURCE: HealthLeaders-InterStudy

CONTACT: Alex Jablokow of Decision Resources, +1-781-296-2562,

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