Kaiser Permanente to use Hopkins doctors

Maryland Watch

December 10, 1998

Kaiser Permanente officials are hoping a new agreement wit Johns Hopkins Medicine will attract new customers and strengthen its position in the mid-Atlantic region.

The nation's No. 1 HMO, which has about 52,000 members in the Baltimore area, said yesterday that it will allow patients in certain networks to receive care from Hopkins-affiliated physicians after the beginning of the new year. Currently, Kaiser members may see only the HMO's own doctors.

"We have been unable to sell our choice products in the Baltimore market because of the limited provider network," said Bob Williams, vice president and executive director of Kaiser's Baltimore office.

He said the HMO expects membership growth of about 12.5 percent annually, adding up to 40,000 members by 2002.

The deal is expected to bring Hopkins' doctors and affiliated physicians additional revenue of about $3 million to $4 million annually for the first two years, said Charles Reuland, director of managed-care contracting at Hopkins Health Care.

Kaiser reported a third-quarter net loss of $102 million on revenue of $3.9 billion.

Pub Date: 12/10/98

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