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Biotech / Medical : Oxford Health Plan (OXHP) -- Ignore unavailable to you. Want to Upgrade?


To: Tony van Werkhooven who wrote (1273)3/10/1998 9:03:00 AM
From: Premier  Respond to of 2068
 
Towrds the end of the article this paragraph appeared

"The issue of the individual plans is also complicated for Oxford because the company is, in a sense, caught between two constituencies. On one hand, it is eager to demonstrate to Wall Street that it will focus on profitable products and will deemphasize less remunerative government business like Medicare and Medicaid. At the same time, Oxford is required by state law to provide insurance to individuals, and so its losses are largely a matter of how much of an increase and how much of a subsidy state regulators approve"

Since the author included medicare and medicaid in the same context, I may have mistakenly interpreted. "Less remunerative" does not mean loosing line I guess. My understanding was that medicare was profitable business. Why would then Oxford deemphasize medicare?

Thanks.

Premier



To: Tony van Werkhooven who wrote (1273)3/10/1998 9:28:00 AM
From: Premier  Read Replies (1) | Respond to of 2068
 
IMHO,the rate increase, in individual policies, may come in the range of 30%. I am not aware of any rate requests in other states. Even after the rate increase Oxford may continue to loose $20MM yearly(based on your $33MM guestimate and 100,000 policies).

Premier