Competitive medical plans: why be first?

In the face of numerous external pressures and federal regulations, hospitals and physicians must decide whether they will wait for government to hand down the next change in health care financing policy or begin developing a solution themselves to the problem of how to provide high-quality care at an affordable cost. One such solution is the competitive medical plan (CMP), regulations for which were published in the Jan. 10, 1985, Federal Register. The CMP, though it may be perceived as a threat to both hospitals and physicians, has been shown to effect significant cost savings in the enrollment of senior citizens. In ensuring care for the elderly within the national budget's constraints, the CMP represents a singular step beyond diagnosis-related group payment. Institutions and their medical staffs that seize the opportunity to develop a CMP will be able to define the marketplace by specifying services, costs, premiums, and coverage for seniors. As the first CMP in the region, they will be able to establish an image of effectiveness in the minds of the public. They also can help to create a sense of ownership among the community's senior citizens by involving them in marketing and consumer service efforts.