FHP International

FHP International was a prominent American health maintenance organization (HMO) and managed care provider that played a significant role in the evolution of the U.S. healthcare system. Founded in 1961 by Dr. Robert Gumbiner, the company initially operated as a staff-model HMO, where it employed its own physicians and operated its own medical facilities. Over several decades, it expanded its footprint across the Western United States and Guam, becoming one of the largest managed care organizations in the country. The company was particularly noted for its early and successful entry into the Medicare risk-contracting market. In 1997, FHP International was acquired by PacifiCare Health Systems in a transaction valued at approximately $2.1 billion, which at the time created one of the largest consumer-health organizations in the nation.