Effect of mergers on health maintenance organization premiums

Roger D Feldman, Douglas R Wholey, Jon Chtistianson

Research output: Contribution to journalArticle

23 Scopus citations

Abstract

This study estimated the effect of mergers on health maintenance organization (HMO) premiums, using data on all operational non-Medicaid HMOs in the United States from 1985 to 1993. Two critical issues were examined: whether HMO mergers increase or decrease premiums; and whether the effects of mergers differ according to the degree of competition among HMOs in local markets. The only significant merger effect was found in the most competitive markets, where premiums increased, but only for 1 year after the merger. Our research does not support the argument that consolidation of liMOs in local markets will benefit consumers through lower premiums.

Original languageEnglish (US)
Pages (from-to)171-189
Number of pages19
JournalHealth Care Financing Review
Volume17
Issue number3
StatePublished - Jun 24 1996

Fingerprint Dive into the research topics of 'Effect of mergers on health maintenance organization premiums'. Together they form a unique fingerprint.

  • Cite this