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REHABCLINICS STARTS OPERATION OF MINNESOTA'S TWIN CITIES MANAGED CARE

 MINNEAPOLIS, Feb. 11 /PRNewswire/ -- An October 1992 amendment to the Minnesota worker's compensation law now allows employees to use managed care plans for worker's compensation. This program allows an employer to direct injured employees to a pre-approved medical provider.
 As a result of this new law, RehabClinics, Inc. (NASDAQ-NMS: RCII), and Twin Cities Managed Care ("TCMC") recently launched a pilot managed care plan for worker's compensation. Twelve RehabClinics facilities in the Minneapolis and St. Paul area are involved in this program. The medically based plan is unique because it will be administered by healthcare professionals who specialize in work-related injuries. The program will provide aggressive preventative services, as well as immediate intervention.
 "This new plan will enable the employer to provide prompt medical attention in a work-related injury without paying high hospitalization costs," said Kathleen Kuha, plan administrator of TCMC. "Employees benefit under this program as well. Prompt, effective care means less time lost and less lost pay."
 "Returning an employee to the worksite also saves the employer money through lein the current cost containment policies of the Clinton Administration."
 RehabClinics' strategy is designed to capitalize on the highly fragmented nature of the outpatient physical therapy industry. RehabClinics has established itself as one of the largest outpatient rehabilitation companies in the country with 106 clinics in 13 states.
 -0- 2/11/93
 /CONTACT: Brian Savage, president - Central Region of RehabClinics, or Kathleen Kuha of Twin Cities Managed Care, 612-373-9465; or Susan Noonan of Noonan/Russo Communications, 212-979-9180, for RehabClinics/
 (RCII)


CO: RehabClinics, Inc.; Twin Cities Managed Care ST: Pennsylvania, Minneapolis IN: HEA SU: PDT

GK-SH -- NY012 -- 5555 02/11/93 09:21 EST
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Publication:PR Newswire
Date:Feb 11, 1993
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