According to the most recent version of The National HMO Financial Database, released by InterStudy Publications, half of the nation's HMOs reported profitability of 1.7% or more in 2002. This continues a five-year trend among HMOs. In 1998, more than half of all HMOs reported profit losses; since then, HMO profitability has increased by approximately 0.5% per year.
"The financial performance of HMOs varies considerably," said Mark Driggs, financial analyst at InterStudy. "This variability stems more from strategy and management practices than it does from local market conditions."
InterStudy's clients use The National HMO Financial Database to decipher the effects of strategy on health care business performance. Financial metrics can be viewed as indicators of sustainability, the ability to fund development of new products and services, the ability to maintain and grow current market share, and the prospects for obtaining capital in the future. The database contains balance sheets, income statements, membership, and utilization data on all HMOs operating in the U.S. It also contains data on the operating performance of specific lines of business such as commercial group, Medicare, and Medicaid programs.
InterStudy produces The National HMO Financial Database yearly with quarterly updates. The data is collected from regulatory filings in 47 states (excluding Idaho, Hawaii, and Alaska). Included in the database is information on membership, medical expenses, pharmacy expenses, revenue by line of business, member months, net income, net worth, assets, liabilities, and analytical ratios. The database is provided on CD in Excel, Access, and PDF formats.
About InterStudy Publications
InterStudy Publications, a division of Decision Resources, Inc., offers data, directories, and analyses of the ever-evolving managed care industry. InterStudy tracks changes and trends in HMO and PPO services, enrollment, and profitability. Visit InterStudy Publications at www.interstudypublications.com.
About Decision Resources
Decision Resources is a world leader in research publications, advisory services, and consulting designed to help clients shape strategy, allocate resources, and master their chosen markets. The company provides strategic information services, and assesses international pharmaceutical and health care industry trends. Visit Decision Resources at www.DecisionResources.com.
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For more information, contact: Meg Schmidt InterStudy Publications 1-800-844-3351 firstname.lastname@example.org Elizabeth Marshall Decision Resources 781-296-2563 email@example.com
SOURCE: Decision Resources
CONTACT: Meg Schmidt of InterStudy Publications, +1-800-844-3351,
firstname.lastname@example.org, or Elizabeth Marshall of Decision
Resources, +1-781-296-2563, email@example.com