With formation of MD Physicians of Tulsa Inc. completed as the fourth
affiliate of MD Physicians Inc. of Oklahoma Ci ty, a new statewide
management services organization will be formed, it was announced
It will be called Physicians Management Services Corp., said Mike
Schuster, executive director of MD Physicians Inc. Schuster will be
president and chief executive officer of Pysicians Management, which
will serve the state network of more than 1,200 physicians.
The new management firm will enter into contracts for management
and support services will all of the state organizations, said
In addition, MD Physicians Inc. has contracted with physicians in
Arizona to develop an affiliate in that state, said Schuster, and is
working with steering groups of physicians in Alabama, Arkansas and
MD Physicians of Tulsa, which includes 400 doctors, joins MD
Physicians of Lawton, MD Physicians of Southern Oklahoma, MD
Phsucians of Muskogee and the original MD Physicians Inc. of Oklahoma
City in the state network.
MD Physicians Inc. was formed by 32 doctors in Midwest City during
May 1984 to support the private practices of member physicians. Its
subsidiary, Physicians Medical Plan of Oklahoma Inc., is an
independent practice association that amounts to a health insurance
firm owned by doctors.
Physicians Medical Plan, which was started last July, contracts
with health management organizations, insurance companies and
self-funded employers to provide physician and hospital services
under "cost-managed" contracts.
Nearly 1,100 physicians have joined the MD Physicians Inc. network
over the past year, said Schuster, resulting in the need for the new
statewide Physicians Management Services Corp.
Physicians Management will be an investor-owned corporation, based
in Oklahoma City, and it will employ all of the staff of MD
Physicians Inc. when it becomes operational during July, he said.
The management firm will be organized by the stock subscription of
$350,000, subscribed by private placement and limited to 35
investors, Schuster said.
Also, The new firm has been licensed by MD Phsysicians Inc. of
Oklahoma City to organize and develop other independent practice
associations around the country.
The corporations are able to compete more effectively in the
medical marketplace through group buying programs, similar to a coop,
said Schuster. …