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Description

This report uses breakeven analysis to assess the financial feasibility of two health maintenance organization (HMO) models which have received considerable support from health-care professionals as potentially viable organizations in rural areas. The two models analyzed, the individual practice association and satellite clinic, represent quite different organizational and financial structures. Enrollment levels required for each HMO model to attain financial viability for specified premium rates are calculated. In addition, the effects of varying key health-care utilization rates on an HMO's financial position are assessed. This information should be of interest to extension agents and others who are working with groups contemplating a variety of health initiatives.

Document Type

Report

ISSN

0734-9548

Volume

789

Publication Date

11-1982

Publisher

Maine Agricultural Experiment Station

City

Orono

Keywords

Health maintenance organizations, rural health services, Maine

Disciplines

Health and Medical Administration | Health Economics

B789: A Breakeven Analysis of Two Rural Health Maintenance Organization Models

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