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Should fee-for-service group practices develop a prepaid component?
Medical Group Management
|December 12, 1980
Summary
Group practices are exploring health maintenance organization (HMO) models to enhance services and remain competitive. Various involvement strategies exist for fee-for-service groups transitioning to HMO concepts.
Area of Science:
- Healthcare Management
- Health Economics
Background:
- Fee-for-service (FFS) group practices face increasing competition.
- Adopting health maintenance organization (HMO) concepts is a strategic consideration.
Purpose of the Study:
- To explore the advantages of integrating HMO concepts into FFS group practices.
- To outline different models for FFS groups engaging with HMOs.
Main Methods:
- Conceptual analysis of FFS and HMO models.
- Review of strategic options for practice integration.
Main Results:
- FFS groups are evaluating HMO strategies due to competitive pressures.
- Multiple pathways exist for FFS practices to engage with HMOs.
Conclusions:
- Transitioning to or integrating HMO concepts offers strategic benefits for FFS practices.
- Understanding diverse HMO involvement models is crucial for practice adaptation.