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. 2003 Feb;38(1 Pt 2):395–417. doi: 10.1111/1475-6773.00122

Table 1.

Medicare+Choice HMO Market Penetration, Overall HMO Penetration, and Medicare Payment Rates in Twelve Urban Communities

Medicare HMO Penetration (%)1 Overall HMO Penetration (%) Medicare Payment Rate ($)2



Markets by Level of Medicare HMO Penetration 1996 1998 20011 1996 1998 2000 1996 1998 2000 2002
High penetration3
Orange County4 41.7% 43.1% 42.1% 40.5% 45.3% 47.1% $545 $584 $610 $640
Phoenix 38.1 43.4 43.8 33.1 34.2 34.7 472 499 524 553
Miami 37.2 43.4 45.7 52.9 61.1 43.8 687 763 794 834
Moderate penetration3
Seattle 30.5% 33.4% 26.3% 20.8% 25.9% 19.2% $410 $437 $483 $553
Boston 15.5 23.0 22.0 36.9 47.7 43.1 532 581 604 635
Cleveland 11.6 22.2 19.3 19.8 28.9 30.6 516 553 576 605
Limited penetration3
Lansing 8.7% 12.1% 12.3% 39.5% 41.1% 33.4% $477 $500 $520 $553
Little Rock 4.6 9.9 8.7 18.1 26.2 21.7 444 477 498 553
Northern New Jersey 4.1 10.0 8.5 21.1 23.9 31.5 518 554 579 608
Minimal penetration3
Indianapolis 4.0% 6.2% 5.0% 20.2% 24.4% 21.9% $456 $486 $506 $553
Greenville 0.2 0 0 5.6 11.1 11.2 327 367 405 553
Syracuse 0 1.1 0 18.0 19.4 15.5 368 375 418 553
NATIONAL AVERAGE 11.0% 16.1% 14.9% 24.0% 29.2% 28.1% $436 $468 $500 $570
1

Data are December for 1996 and 1998 and March for 2001. Enrollment is Coordinated Care Plans (CCP) unless otherwise noted.

2

Payment rate for largest county in Metropolitan Statistical Area. National data represent national per capita spending on enrollees in CCP; figures are for the month December for 1996–2000 and January for 2002.

3

High- and moderate-penetration markets have enrollment; above the national average limited and minimal below average.

4

Medicare HMO penetration includes cost and demonstration plans with at least 1,000 beneficiaries. In Indianapolis, one cost plan has most of the enrollment.

Source: Based on data from the Centers for Medicare and Medicaid Services (formerly the Health Care Financing Administration) and the Interstudy Competitive Edge 7.1, 9.1, 11.1.