INSIGHT HEALTH SERVICES CORP.
                                                 4400 MACARTHUR BLVD.
                                                 SUITE 800
                                                 NEWPORT BEACH, CA 92660

[LOGO]         N E W S  R E L E A S E
                                                                      CONTACTS
                                                At Lippert/Heilshorn & Assoc.:
                                                   Lillian Armstrong/Adam Aron
                                                                  415-433-3777
                                                                 Keith Lippert
                                                                  212-838-3777

                                                                   At Insight:
                                                                     Tom Croal
                                                     Executive Vice President/
                                                       Chief Financial Officer
                                                                  714-476-0733

                                       
               INSIGHT HEALTH SERVICES CORP. COMPLETES ACQUISITION
              OF THREE DIAGNOSTIC IMAGING NETWORKS IN THE NORTHEAST

     - THE NETWORKS GENERATED COMBINED NET REVENUES OF $7 MILLION IN 1996 -

         NEWPORT BEACH, CALIFORNIA, June 3, 1997 - InSight Health Services 
Corp. ("InSight") (NASDAQ: IHSC) today announced it has completed its 
acquisition of Maine's Mobile Imaging Consortium and the Mobile Imaging 
Consortium - New Hampshire. The acquisition adds three strategically 
positioned networks to InSight's existing business in the Northeast.

         E. Larry Atkins, InSight's President and Chief Executive officer 
commented, "This acquisition moves InSight towards its primary objective of 
establishing regional networks capable of providing high quality imaging 
services and becoming the country's leading provider of diagnostic imaging 
and information services. The Mobile Imaging Consortiums are well managed, 
profitable businesses, and each network has a strong customer base. They 
complement our existing facilities in the Northeast, and greatly strengthen 
our presence in this strategically located market. We plan to continue to 
make acquisitions and grow our business in the key diagnostic imaging markets 
in the U.S."

         InSight, headquartered in Newport Beach, California, provides 
diagnostic imaging and information, treatment and related management 
services. It serves managed care, hospitals and other contractual customers 
in 28 U.S. states, including five major U.S. markets: California, the 
Southwest, including a major presence in Texas, the Midwest, the northeast 
and the Southeast.


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INSIGHT HEALTH SERVICES CORP.
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SAFE HARBOR STATEMENT
- ---------------------

The matters set forth in this release are forward-looking statements that are 
dependent on certain risks and uncertainties, including such factors as 
changing regulatory environment, limitations and delays in reimbursement by 
third party payors, contract renewals, financial stability of customers, 
aggressive competition, and other risk factors detailed in the company's SEC 
filing.