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HMO Middle Manager Perceptions of the Legality of Specified Practices

JHHSA, Vol. 25 No. 4, (2003)

If Health Maintenance Organizations (HMOs) are to survive and pros-
per, they must abide by a large volume of potentially disruptive laws
and regulations at the federal, state, and local levels. Some have
suffered extreme financial loss and even been driven out of business
because of legal transgressions. This study explores the ability of
middle managers in large and small HMOs to distinguish between legal
and illegal practices in light of federal laws. The study uncovered
evidence of lack of this ability especially for managers in small HMOs.
Various remedial measures are proposed for this problem.

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