Number of HMOs Drops and Growth Rate Continues to Decline
(PRWEB) March 31, 2000
For Immediate Release
Contact: Tammy Lauer (tlauer@hmodata. com) or Amy Boese (aboese@hmodata. com)
InterStudy Publications, 800-844-3351
MINNEAPOLIS, MN - The number of HMOs dropped to 613 as of July 1, 1999, down from 643 in January 1999, according to the most recent HMO Directory released by InterStudy Publications. The annual growth rate for HMO enrollment also continues to decline, dropping from 7.9% in July 1998 to just 2.6% as of July 1, 1999.
The InterStudy Competitive Edge HMO Directory (version 10.1) is compiled using data collected directly from HMOs through the twice-yearly InterStudy National HMO Census, providing a comprehensive look at the HMO industry as of July 1, 1999. Data collected for the HMO Directory 10.1 shows that HMO enrollment continues to rise, though the annual growth rate has fallen sharply. Total HMO enrollment grew by 2.6% in the first half of 1999, with approximately 81 million persons enrolled in HMOs as of July 1, 1999. This represents an increase of just 2.2 million members since July 1, 1998. The semi-annual growth rate actually declined from January 1, 1999 to July 1, 1999. HMOs lost over half a million enrollees in the first half of 1999, a decrease of 0.6% since January 1, 1999.
The HMO Directory profiles full-service HMOs across the nation, presenting enrollment figures, service areas, addresses and key personnel for each HMO. Enrollment figures are broken down by lines of business, including group/commercial, Medicare, Medicaid, and open-ended (point-of-service) products, as well as several other categories. The Directory also chronicles changes in the HMO industry, with extensive listings of mergers and acquisitions, plans no longer doing business, and other consolidations.
The total number of HMOs listed in the InterStudy HMO Directory decreased to 613 plans; down from 643 HMOs in January 1999. Only five new HMOs were added to the HMO Directory 10.1 while 36 plans were removed from the book due to terminations, mergers, acquisitions or consolidations within the industry.
The HMO Directory is used by health care analysts around the country to track competing HMOs and compare HMO growth in various states or regions. The HMO Directory identifies key players in a given state and presents each HMO profile in a consistent manner for easy comparison. It also provides information on changes in providers and enrollment for the past three years to allow for extended comparisons.
Detailed analysis of the trends in HMO enrollment is forthcoming in the HMO Industry Report 10.1, which will be available for purchase in April. The HMO Industry Report will examine HMO growth by product line, provide lists of the top 25 largest and fastest growing HMOs and detail HMO enrollment by state. It will also include an analysis of HMO provider reimbursement methods and data collected through a new survey section devoted to pharmacy expenses, pharmacy utilization and control, and the use of pharmacy benefit management companies (PBMs).
The InterStudy Competitive Edge series is published semi-annually by InterStudy Publications, a publications firm specializing in research and reports for market driven health care. The HMO Directory is the first of a three-part series on HMOs. Part II, The HMO Industry Report, analyzes plan growth and characteristics associated with growth in HMOs. Part III, The Regional Market Analysis, examines market structure and dynamics of metropolitan markets served by HMOs. The complete InterStudy Competitive Edge series (Parts I, II and III) is available from InterStudy for $525 (prepaid). Each book is also sold separately. The HMO Directory and Industry Report are available for $215 each (prepaid) and the Regional Market Analysis is available for $275 (prepaid). For more information, please call 800-844-3351, or visit our web site at www. hmodata. com.
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