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Health Business Week

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A.M. Best Co.



A.M. Best Special Report: Medicare Advantage Plans Lead HMO Financial Impairments in 2007



February 6th, 2009

The five health maintenance organization (HMO) financial impairments of the past two years have predominantly involved private-sector Medicare Advantage or Medicaid companies.

Although the impairment count of three in 2007 and two through third quarter 2008 is low compared with the late 1990s and early 2000s—when at their peak, nearly one in 26 companies became impaired—any impairment can cause the displacement of thousands of individual HMO members.

Most of the impairments in this updated study were small single-state HMOs that specialized in the Medicare and Medicaid markets.

Most financial impairments among HMOs result from...


Source: Health Business Week (2009-02-06)

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