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 MORRISVILLE, N.C., Dec. 9 /PRNewswire/ -- The North Carolina Department of Insurance has approved statewide expansion for one of the state's largest health maintenance organizations, Carolina Physicians' Health Plan, Inc. (CPHP).
 CPHP plans to phase in operations beginning with the Triad (Greensboro, Winston-Salem, High Point), Fayetteville and Wilmington areas effective Jan. 1, 1994, the western North Carolina (Asheville) area by July 1, 1994, and northeastern North Carolina by January 1995. This expansion makes CPHP one of only two North Carolina HMOs approved to serve customers in all 100 North Carolina counties.
 "Being available to all North Carolinians is very important, considering health care reform," said Bob Greczyn, chief executive officer of CPHP.

"Unlike many national HMO chains, CPHP is committed to bringing managed care to both urban and rural markets in North Carolina."
 Greczyn said the company's strategy to phase in operations will involve the recruitment of doctors and hospitals to affiliate with the plan, then selling the company's service to employers. Business in the Triad, Fayetteville, Wilmington and surrounding areas will be conducted from the corporate office in Morrisville. The western part of the state will be handled through the Charlotte office. As each area develops consideration will be given to establishing additional regional offices.
 CPHP's statewide expansion marks the second time the company has aggressively moved to grow its operations. Last year, CPHP entered the Charlotte market and 11 counties in central North Carolina increasing its service area to 48 counties. After that expansion, membership jumped 58 percent between July 1992 and November 1993 to 60,000 members.
 "We expect CPHP's enrollment to reach 70,000 members in January 1994," said John Roos, vice president, sales and marketing. "As we become operational statewide, membership is expected to continue the strong growth which has occurred in the last two years."
 As of Dec. 1, 1993, CPHP and its sister company, Managed Benefit Systems (MBS), a third party administrator, had a combined membership total of 86,000. Membership of the combined companies is expected to exceed 100,000 on Jan. 1, 1994. Both companies are wholly owned subsidiaries of Coordinated Medical Services based in Morrisville, N.C.
 Carolina Physicians' Health Plan, Inc.
 Carolina Physicians' Health Plan, Inc. (CPHP), based on Morrisville, N.C., was founded by area physicians in 1985 and licensed by the North Carolina Department of Insurance in 1986. The company was first incorporated as Central Carolina Physicians' Health Plan. When CPHP expanded its service area in 1987, "Central" was dropped from the company name.
 At the end of 1986, CPHP had 14 employees and 2 employer groups offering the plan, covering 6,000 members in six counties. Today, CPHP has become the second-largest managed care company in the state. CPHP has more than 160 employees, 140 contracted employer groups, and with its sister company Managed Benefit Systems (MBS), covers approximately 86,000 members in 48 counties. Clients include numerous municipalities and leading private employers. CPHP was offered to North Carolina Teachers and State Employees in October 1992 and currently provides coverage to over 10,000 state employees and their families.
 In 1990, Healthsource Management, Inc. of New Hampshire became affiliated with CPHP. Healthsource purchased a minority position in CPHP, bringing added capital and financial stability to the company. CPHP exceeds all regulatory requirements regarding HMO operation in North Carolina.
 In December 1993, the North Carolina Department of Insurance approved a third geographic expansion which licensed CPHP statewide in all North Carolina counties. CPHP plans to phase-in operations throughout the newly licensed counties over a two-year period.
 CPHP is a wholly owned subsidiary of Coordinated Medical Services. Other subsidiaries include Managed Benefit Systems, a third party administrator, and Coordinated Network Services, which offers insurance coverage to small groups.
 Benefit Plan Features
 -- Member selects Managed Care Physician to coordinate care; women
 may also select obstetrician/gynecologist for routine care and
 see this physician without a referral
 -- Access to more than 3,000 community physicians and providers
 -- Referral required for specialty care; referrals are administered
 through CPHP's automated telephone system -- no paperwork
 -- Benefit plans feature comprehensive care and no deductibles;
 member makes fixed copayment for physician services
 -- Preventive health benefits including physical examinations, CPHP
 health education classes, well baby care, immunizations, low-cost
 prenatal care, and mammograms.
 Operational Service Area
 Alamance, Beaufort, Cabarrus, Chatham, Cleveland, Durham, Edgecombe, Franklin, Gaston, Granville, Greene, Harnett, Iredell, Johnston, Lee, Martin, Mecklenburg, Moore, Nash, Onslow, Orange, Person, Pitt, Scotland, Union, Vance, Wake, Wilson
 -0- 12/9/93
 /CONTACT: Bob Greczyn, chief executive officer, of Carolina Physicians' Health Plan, 919-460-1610 ext. 7700/

CO: Carolinas Physicians' Health Plan, Inc.; Coordinated Medical
 Services ST: North Carolina IN: HEA SU:

CM -- CH007 -- 2309 12/09/93 15:29 EST
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Publication:PR Newswire
Date:Dec 9, 1993

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