An HCIA-Sachs survey says the median HMO profit margin in 1998 was -1.7 percent, slightly better than in 1997. Forty-one percent of HMOs made money in 1998.
Some marquee organizations are rebounding. Not-for-profit Kaiser Permanente ended 1999 with a net loss of $6 million, far from its $288 million net loss in 1998. On the for-profit side, Foundation Health’s net income in 1999 was $142 million, compared with a net $165 million loss the previous year.
Many others, however, are still struggling. Aetna Inc. said it would split into separate “health and wealth” businesses — evoking memories of days before Aetna’s corporate culture smothered U.S. Healthcare’s inventiveness, say some observers. Aetna spurned a purchase offer from WellPoint Health Networks, opting instead for the restructuring plan.
In Massachusetts, Harvard Pilgrim Health Care will continue as a not-for-profit entity, after state officials restructured its debt and agreed its business plan was solid enough to get it into the black by next year. Some large for-profit plans that had considered buying Harvard Pilgrim subsequently expressed concern about entering Massachusetts, where opposition to for-profit care is strong.
Our other journal
P&T Journal for November 2014
FEATURES
LETTER TO THE EDITOR
Medications for Parkinson’s Disease
PERSPECTIVE
The Changing Roles of P&T Committees
Epilepsy Management: Newer Agents, Unmet Needs, and Future Treatment Strategies
PIPELINE PLUS
Modest Growth Seen in Epilepsy Market
MEETING HIGHLIGHTS
European Society of Cardiology and Transcatheter Cardiovascular Therapeutics
BOOK REVIEW
“Generic: The Unbranding of Modern Medicine,” by Jeremy A. Greene, MD, PhD
DEPARTMENTSMEDICATION ERRORS
Misadministration of IV Insulin Associated With Dose Measurement And Hyperkalemia Treatment
PRESCRIPTION: WASHINGTON
FDA’s Proposed 503B Draft Compounding Guidance Raises Concerns of All Kinds
New Drugs/Drug News
Pharmaceutical Approval Update
DRUG FORECAST
Riociguat (Adempas): a Novel Agent For the Treatment of Pulmonary Arterial Hypertension and Chronic Thromboembolic Pulmonary Hypertension

Paul Lendner ist ein praktizierender Experte im Bereich Gesundheit, Medizin und Fitness. Er schreibt bereits seit über 5 Jahren für das Managed Care Mag. Mit seinen Artikeln, die einen einzigartigen Expertenstatus nachweisen, liefert er unseren Lesern nicht nur Mehrwert, sondern auch Hilfestellung bei ihren Problemen.