Article: HMO industry at financial crossroads. (Alternative Health Care)

HMO Industry At Financial Crossroads

The 15-year-old health maintenance organization industry may be on the verge of producing stronger financial results for 1989 and 1990 than it did pre-1988, according to two recently published studies.

Two health care research firms recently released studies that indicate overall HMO profitability for 1988 ranged between 29 and 36 percent, which was not the sterling performance anticipated by HMO industry-watchers.

Both research organizations' reports suggest that optimism is high however, among HMO executives, for improving plan financial performance for 1989 and beyond.

One of the reports -- "The ...

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