ProMutual Hospital Policyholders to Receive Third Consecutive Dividend; See No Rate Change
Almost 100 Massachusetts Healthcare Facilities Positively Affected
Boston, MA - August 15, 2012 - Medical Professional Mutual Insurance Company (“ProMutual”), a member company of leading medical professional liability insurance provider Coverys, announces that its Board of Directors recently declared a five percent dividend to certain healthcare facility policyholders in Massachusetts. This year’s dividend announcement follows a five percent dividend in 2011 and 2010. The dividend coincides with no increase in medical professional liability insurance rates for this group. Both decisions affect almost 100 healthcare facilities in Massachusetts.
“We are pleased to see these continued positive results from our Massachusetts hospital policyholders,” said Gregg L. Hanson, president and CEO of Coverys. “We hope to help them continue to uphold the practice of excellent medicine by focusing on the areas of our business that we’ve seen most benefit our insureds.”
The 2012 healthcare facility dividend is a repeat of the previous years’ dividends and reflects the company’s positive past performance. The funds used for the dividend were originally allocated to pay forecasted claims, but actual costs were less than anticipated. Additionally, the expertise of the company’s claim staff and the company’s commitment to helping policyholders focus on patient safety through risk management contributed to this outcome. Qualified policyholders will receive the dividend beginning on September 1, 2012.
The decision to maintain the same base rates was reached after careful analysis by the company’s actuarial staff and external consultants revealed lower loss and allocated loss adjustment expense severity than was estimated.
For more information about Coverys, visit www.coverys.com, or contact Katharine Gould, public relations specialist, at (617) 946-8665 or firstname.lastname@example.org.
Coverys is one of the top 10 medical professional liability insurance providers in the country based on direct written premium. Coverys member companies insure more than 20,000 physicians, surgeons, dentists, certified nurse midwives and allied healthcare providers, as well as nearly 500 hospitals, health centers and clinics in 23 states from coast to coast. Coverys is committed to financial strength and stability with net admitted assets in excess of $3.2 billion, direct written premium of $375 million and policyholder surplus of $1.1 billion, as of December 31, 2011. In addition, all Coverys insurance member companies have a Best’s Rating of A- (Excellent). Coverys emphasizes physician education and patient safety, and the company is acknowledged as a leader in providing supportive risk management services and resolute claim defense to the healthcare community. Coverys also offers a variety of interactive and relevant continuing medical education (CME) activities to healthcare providers across the country. For more information visit the Coverys website at www.coverys.com. Timely industry and company news can also be found on the Coverys blog at coverys.wordpress.com, on Twitter (@Coverys) and on the company’s Facebook page.