- 42 - During 1999, petitioner’s enrollees represented approximately one-fifth of Utah’s total population and petitioner’s IHC Access plan enrollees constituted nearly 50 percent of Utah residents that were eligible for managed Medicaid benefits. Despite petitioner’s open enrollment policy and the wide acceptance of its plans by individuals and groups alike, petitioner’s operations differed materially from the operations of Sound Health Association HMO and Geisinger HMO. Significantly, petitioner did not own or operate its own medical facilities, did not employ (to any significant extent) its own physicians, and did not offer free medical care to the needy. Additionally, petitioner did not institute any program whereby individuals were permitted to become members while paying reduced premiums, and, aside from the few free health screenings that petitioner conducted in 1999, petitioner did not provide or arrange to provide any free or low cost health care services. The record does not reflect whether petitioner applied surplus funds to improve facilities, equipment, patient care, or to enhance medical training, education, and research. See Rev. Rul. 83-157, 1983-2 C.B. 94. Importantly, the record does not reveal why petitioner applied an adjusted community rating methodology to determine premiums for individual and small employer group enrollees whilePage: Previous 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 Next
Last modified: May 25, 2011