HealthLeaders-InterStudy, a leading provider of managed care industry intelligence, finds that HMO enrollment continues to decline in most New England states -- even Massachusetts, traditionally an HMO stronghold.

According to the latest issue of the New England Health Plan Analysis, HMOs' share of the commercial market in Massachusetts went from 65% in January 2004 to 62% in July 2004. In Maine, it went from 26.9% to 23.1%; and in Vermont, from 24.5% to 24.2%. But in New Hampshire, HMOs' share of the commercial market was up slightly, from 35.7% to 36.2%.

"There is continuing migration to PPOs," said Paula DeWitt, HealthLeaders- InterStudy analyst. "Massachusetts has strong regional plans and will likely continue to be an HMO stronghold, but even it isn't immune to the migration into more open-access products. In addition, while all New England states reported net profits through the third quarter of 2004, profits were down in Massachusetts, New Hampshire, and Rhode Island compared to the same period in 2003."

  Other Health Plan News in New England:   * Lawmakers in almost all of the New England states are dealing with     Medicaid shortfalls and malpractice insurance reform, echoing their     counterparts across the country.   * Tufts Health Plan has formed an alliance with national player CIGNA     HealthCare to offer an open-access PPO-type product to large- and     medium-size businesses.   * Medicare HMOs in New England are adding options and some are enhancing     benefits for 2005.  For example, Fallon Community Health Plan is     offering a new option called Fallon Senior Plan Saver with no premium.    About HealthLeaders-InterStudy 

HealthLeaders-InterStudy, a newly formed company of Decision Resources, Inc. (http://www.decisionresources.com/), is the authoritative source for managed care data, analysis, and news. For more information, please visit both websites at http://www.healthleaders.com/ and http://www.interstudypublications.com/.

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

  For more information, contact:    Elizabeth Marshall    Decision Resources    781-296-2563    emarshall@dresources.com 

SOURCE: HealthLeaders-InterStudy

CONTACT: Elizabeth Marshall of Decision Resources, +1-781-296-2563,
emarshall@dresources.com

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